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Foreign exchange firm Travelex has gone into administration with the loss of more than 1,300 UK jobs.

Administrators PwC said a cyber-attack earlier this year followed by the coronavirus crisis had “acutely” hit the firm.

Travelex was held to ransom by hackers in January after the cyber-attack forced it to turn off its systems.

PwC said that a so-called “pre-pack” administration deal had been reached which had saved 1,800 UK Travelex jobs.

This is where a firm sells all or some of its assets to a pre-determined buyer and appoints administrators to do so.

PwC said parts of the firm had been bought by a newly created company controlled by its lenders, in what was described as “a complex restructuring deal”.

It said the deal had delivered £84m of new money and substantially reduced the business’s debts.

Toby Banfield, joint administrator at PwC, said it had enabled a core part of the business to continue operating under new ownership.

He added: “The completion of this transaction has safeguarded 1,802 jobs in the UK and a further 3,635 globally, and ensured the continuation of a globally recognised brand.

“Unfortunately, as the majority of the UK retail business is no longer able to continue trading, it has regrettably resulted in 1,309 UK employees being made redundant today.

“Our dedicated employee team will be providing support to all of the people impacted.”

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