News: Bumpy ride continues for Rotherham-based bike retailer
The company that saved British bicycle designer and retailer Planet X Limited, has itself appointed liquidators, three years later.
In 2023, Planet X Limited was sold in a pre-pack deal to Winlong Garments Limited, a company funded by Baaj Capital LLP. The move saw all 33 employees transfer to the purchaser as part of the sale.
Founded in Sheffield and laterly operating from Aldwarke, Rotherham, the business has been designing and building road, gravel and mountain bikes for over 30 years, under brands including Planet X, Holdsworth, On-One and Titus. In addition, the company sells a range of clothing and accessories via its online store. In 2020, Planet X’s employees acquired the business from its founders and set up an Employee Owned Trust (EOT).
Earlier this month Winlong Garments Limited announced that it is to be wound up voluntarily with Jeremy Bleazard of XL Business Solutions appointed as liquidator.
The Planet X online store continues to trade, operated by Retail online Ltd, a Chesterfield-based business incorporated in August.
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Rothbiz reported in 2023 that a relative boom period during COVID, as people rushed to buy bikes, was followed by a slump in sales that led to cashflow problems at Planet X.
Revenue grew to £19.1m with a gross profit margin of 28% during 2021 but customer demand in 2022 and 2023 reduced, following the end of COVID-19 national lockdowns and reduced consumer confidence generally. In August 2022, the business experienced cash flow pressure and administrators, Interpath Advisory were brought in and organised a £535,000 pre-pack sale of the business.
One of the largest Planet X creditors was Santander who funded the company through a term loan and a trade loan with a total indebtedness of £6.26m. In the end, only £309,831 of the bank's debt was realised leading to a large shortfall.
Unsecured claims totaled £736,595 and a first and final dividend to unsecured creditors of 6.11p in the £ was agreed last year.
Planet X website
Images: Planet X
In 2023, Planet X Limited was sold in a pre-pack deal to Winlong Garments Limited, a company funded by Baaj Capital LLP. The move saw all 33 employees transfer to the purchaser as part of the sale.
Founded in Sheffield and laterly operating from Aldwarke, Rotherham, the business has been designing and building road, gravel and mountain bikes for over 30 years, under brands including Planet X, Holdsworth, On-One and Titus. In addition, the company sells a range of clothing and accessories via its online store. In 2020, Planet X’s employees acquired the business from its founders and set up an Employee Owned Trust (EOT).
Earlier this month Winlong Garments Limited announced that it is to be wound up voluntarily with Jeremy Bleazard of XL Business Solutions appointed as liquidator.
The Planet X online store continues to trade, operated by Retail online Ltd, a Chesterfield-based business incorporated in August.
Advertisement
Rothbiz reported in 2023 that a relative boom period during COVID, as people rushed to buy bikes, was followed by a slump in sales that led to cashflow problems at Planet X.
Revenue grew to £19.1m with a gross profit margin of 28% during 2021 but customer demand in 2022 and 2023 reduced, following the end of COVID-19 national lockdowns and reduced consumer confidence generally. In August 2022, the business experienced cash flow pressure and administrators, Interpath Advisory were brought in and organised a £535,000 pre-pack sale of the business.
One of the largest Planet X creditors was Santander who funded the company through a term loan and a trade loan with a total indebtedness of £6.26m. In the end, only £309,831 of the bank's debt was realised leading to a large shortfall.
Unsecured claims totaled £736,595 and a first and final dividend to unsecured creditors of 6.11p in the £ was agreed last year.
Planet X website
Images: Planet X
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