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Thursday, December 21, 2006

The Farepak Debacle III

The Farepak debacle is a story that simply won't go away, especially in the run up to Christmas.

The rival Christmas savings specialist Park Group Plc, which now that Farepak has collapsed is the UK's largest Christmas savings club, is claiming that they could have saved Farepak from collapse.

Managing Director, Chris Houghton, is quoted as saying:

"We made four (approaches) in 18 months. All at different times with different prices. We felt we'd made full offers for the business, and for some reason they did not want to take it."

Adding:

"We were bending over backwards to try to avoid the situation we've got now, but it ended up going into administration before we were able to get it done."

However, this claim is disputed; a spokesman for HBOS, bankers to Farepak's parent company European Home Retail (EHR) Plc, are claiming that EHR received no serious offers for the business.

Quote:

"The truth is that no realistic, viable deal was ever tabled.

If it had, EHR is a listed company it would have to be a matter of public record
."

All very well, but none of this helps the victims of Farepak's collapse.

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