The directors of fast food business Abrakebabra expect the restructuring of the group’s finances and rental agreements to be completed on terms acceptable to the group, its bank and landlords.
This is disclosed in new accounts just filed by Abrakebabra Ltd with the Companies Office which confirm that the business recorded a loss of €505,248 in 2013.
The firm had a shareholders’ deficit of €9.3m at the end of 2013. A note attached to the accounts states that the net shareholders’ deficit resulted from the impairment of fixed assets in 2011 due to the decline in the market value of properties.
A note attached to the accounts states: “The directors have implemented a business plan to restructure the business with a view to returning the group to profitability. This has seen a significant reduction in the operating costs of the group and the advancement of further funding by way of loans from the shareholders to assist the group meeting its obligations and to ensure its continuing viability”.
The company’s bank loans of €7.16m and the firms’ Irish Bank Resolution Corporation (IBRC) loans were sold by special liquidators to IBRC to Lone Star Funds in December 2013. A note attached to the accounts states directors expect restructuring of the group’s finances and rental agreements to be completed on terms acceptable to the group, its bank and landlords
The directors expect to remain operational for the foreseeable future.
Accounts for a connected firm, Bagel Master Ltd show it recorded a loss of €200,053 in 2013 and had a shareholders’ deficit of €8.5m.
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