McColl's plunges to record low after co warns of possible collapse

MccollS Retail

06/05/2022 08:52

** Shares of British convenience shop chain McColl's
 MCLSM.L  fall as much as 55% to their lowest level of 0.52p
    ** Says it was likely to be placed into administration, a
move that could put thousands of jobs at peril  urn:newsml:reuters.com:*:nL3N2WX2XK 
    ** Reiterates it remained in talks on potential financing
solutions to resolve short-term funding issues, create stable
platform for business 
    ** "Unless an alternative solution can be agreed in the
short term, it is increasingly likely that the Group would be
placed into administration with the objective of achieving a
sale of the Group to a third-party purchaser and securing the
interests of creditors and employees," McColl's says 
    ** Co warned last month that even if a financing solution is
achieved it was likely to result in little or no value being
attributed to the group's equity  urn:newsml:reuters.com:*:nL3N2WN19D
    ** Including session losses, stock down ~95% YTD 
   

 (Reporting by Amna Karimi in Bengaluru)
 ((amna.karimi@thomsonreuters.com))