Friday, May 10

Planet Organic founder Elliott returns to spearhead rescue deal

Renee Elliott, the founding father of Planet Organic, is returning to spearhead a rescue deal for the grocery store chain she launched in 1995.

Sky News has learnt that Ms Elliott has agreed to steer a takeover of Planet Organic in a deal anticipated to be finalised on Tuesday.

City sources mentioned she had assembled backing from a variety of personal traders, and deliberate to accumulate the corporate by means of a pre-pack administration.

Interpath Advisory, which has been overseeing efforts to discover a purchaser for Planet Organic since February, is anticipated to be appointed administrator earlier than promoting nearly all of its 13 shops to Ms Elliott’s consortium.

Peter Marsh, Planet Organic’s former chief govt, is alleged to have been lined up by Ms Elliott to return to the enterprise.

Further particulars of the rescue deal, together with the size of potential job losses, had been unclear on Monday evening.

It will come after weeks of talks with a spread of events, with Waitrose, J Sainsbury and Holland & Barrett all having expressed an curiosity in shopping for elements of Planet Organic.

Redbus Ventures, an funding car arrange by one of many founders of Lovefilm, has additionally lodged a proposal.

Planet Organic trades from simply over a dozen shops and employs roughly 360 folks.

The present chief govt George Dymond advised employees final month that it had “not got back to the levels of sales that we were seeing before the pandemic”.

“So, while we have taken every possible action to improve our position, including additional investment from our existing shareholders, we have so far been unsuccessful in raising sufficient funds needed to support the business and the growth plan.

“I need you all to understand how very sorry I’m that we’re on this place – I’m acutely aware that this shall be a really unsure time for you all.”

The chain sells natural foods and drinks, in addition to healthcare and bodycare merchandise.

Like many retailers, its latest efficiency has been hampered by the pandemic and decreased metropolis centre footfall.

It is known to have been loss-making in every of its final two monetary years.

None of these concerned within the deal may very well be reached on Monday.

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