Chesterfield-based XB Realisations Limited, formerly Xbite Limited, has been sold out of administration, saving all jobs.
James Lumb and Howard Smith from Interpath Advisory were appointed joint administrators of the business on 15 July 2022
The company operated as an online retailer which traded through websites including 365Games, Roov, Maison and White, Pukkr and Shop4World, as well as via various other sales channels. The company employed 87 members of staff and had turnover of £51.7 million in FY21.
In common with many online businesses, the company’s turnover levels increased significantly during the COVID-19 pandemic, so the business geared up for further growth, employing additional staff and expanding into new larger leasehold premises.
Interpath Advisory were appointed joint administrators
Xbite Limited, a Chesterfield-based company, has been sold out of administration. The company, which was founded in 2006, went into administration in February of this year. However, it has now been bought by a consortium of investors led by the company’s management team. The sale will see the company continue to trade as XB Realisations Limited.
The company specialises in the design and manufacture of electronic products and accessories. It employs over 40 people at its headquarters in Chesterfield and its factory in China.
The company’s products are sold worldwide. This is good news for the people of Chesterfield, as it means that the jobs of the people who work for the company are safe. It is also good news for the local economy, as the company brings money into the town.
Mounting cashflow pressure due to covid
With mounting cashflow pressures, the directors explored options for additional investment, including exploring a potential sale of the business. Despite receiving multiple offers, ultimately a solvent sale could not be delivered. The directors concluded the company had no prospect of avoiding insolvency and sought to appoint the joint administrators.
The joint administrators have now completed a sale of the business and certain assets of the company to an unconnected purchaser which now trades as Xbite. All employees transferred to the purchaser as part of the sale.
James Lumb, Managing Director at Interpath Advisory and joint administrator, said: “We are pleased to have concluded this sale of the business and we wish the purchaser all the very best for the future.”
With over three decades of experience in the business and turnaround sector, Steve Jones is one of the founders of Business Insolvency Helpline. With specialist knowledge of Insolvency, Liquidations, Administration, Pre-packs, CVA, MVL, Restructuring Advice and Company investment.