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Cains offers debt for equity swap

The management team at Cains brewery was this morning still waiting to hear news from the Bank of Scotland about the historic Liverpool company’s future. The Dusanj brothers, who saved the business from collapse in 2002, have now offered to convert £2.56m of loans from last June’s £37m takeover of pubs group Honeycombe Leisure into shares. Speaking to Insider this morning, Sudarghara Dusanj was hopeful that a deal would be struck. “The market’s really tough and we’re saying to the bank: ‘Just hang in there.’ We’ve been doing this for 25 years and have been through tougher times,” he said. “The difference is that as a public company we have had to update the market. Last year we took on a huge company and the progress we’ve made in that time has been fantastic.” The debt for equity swap would mean that money previously paid out in hefty interest payments would remain within the company. On Monday the AIM-quoted Cains Beer Company revealed a pre-tax loss for the six months to April of £4.5m and a disputed tax bill.

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Business
Combining heritage and vision

Economic development company Liverpool Vision last night launched a book published in partnership with English Heritage detailing the history and transformation of the city’s central business district. “How is it that these two organisations can jointly sign off on a book about the history of Liverpool?” said Liverpool Vision chief executive Jim Gill. “Because we have a common recognition about how important this part of the city is. The waterfront and the main commercial area represent our vision for the future of the city and there are very real challenges here about the way historic buildings are converted for commercial use.” The book, which forms part of a series of publications about the city, is available from the English Heritage online shop.


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VPhase unveils first commercial product
Capenhurst-based VPhase, developer of energy-saving products, will be launching and exhibiting its first commercial energy-saving product, VX1, at Interbuild 2008, the UK's largest building industry exhibition, in October. VX1 is a low-cost voltage reduction and regulation system that can reduce the energy consumption of household appliances by up to 18 per cent. The company has already secured its supply chain for volume production and supply of the VX1.
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Craig to bat for recruiters
Kirsty Craig, the managing director of Chester-based recruitment agency The Business Connection, has been appointed UK managing director of TEAM, a network of independent recruitment businesses. She is preparing a response from the recruitment industry regarding a proposed directive on the rights of temporary staff.
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New name at Radisson SAS
Ralph Goetzmann has been appointed general manager at the Radisson SAS Hotel on Liverpool's Old Hall Street following the departure of Geir Tonnessen in April. Goetzmann brings 13 years of experience in the hospitality industry to the role and joins from the Radisson SAS in Leipzig.
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Cassidy expects pressure on toy sales
Increased foreign sales have boosted the balance sheet for AIM-listed toy company Cassidy Brothers as the UK market continues to struggle. The Blackpool company has increased pre-tax profits for the year to the end of April by 68 per cent to £241,098 and sales by 12.8 per cent to £3.3m. But chairman Paul Cassidy said the increasing value of China's currency against the Hong Kong dollar would place extra pressure on its cost base. "As most toy factories are owned by Hong Kong Chinese and funded from Hong Kong banks this is most unwelcome news. Raw material prices and labour rate increases imposed on the factories by the Chinese government have created spiralling factory gate price increases of 20 per cent this year. By January 2009 further increases can be expected."
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Property
Subway and O2 race to Aintree
Orbit Developments is bringing two big brands to its retail park in Aintree. The developer has secured deals with sandwich chain Subway, the fastest growing franchise business in the world, and mobile phone giant O2 to open shops at Unit 9 at Aintree Racecourse Retail Park. The companies have acquired 1,000 sq ft of space each for the next ten years. A final 1,000 sq ft remains available to let in the retail unit.
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Deals
Regional deal value halves
The total value of North West deals in the second quarter has slumped to its lowest level since 2005, according to figures released today from The Centre for Management Buy-out Research. The value of regional deals reached £210m in the three months to June, less than half the £535m achieved in quarter one and the lowest quarterly figure since the fourth quarter of 2005. Despite this fall there was a record number of deals in the sub-£10m range in the region - by the end of the second quarter 24 deals in this bracket had been completed, worth £41m, which is the highest level since the third quarter of 2006. Deals in the £10m to £50m range also leapt, with six deals totalling £169m compared with three deals worth £76m in quarter one.
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