Cazoo calls in administrators, hundreds of staff made redundant


Administrators from Teneo Financial Advisory have been appointed by online car retailer Cazoo and have revealed that it has sold some assets to Cinch and G3 Remarketing.

The appointment of administrators closes a chapter in Cazoo’s brief history, as the indebted group abandoned its business model of selling its own used cars online to become an advertising marketplace for car dealers and consumers to sell and buy their cars.

Despite actions to restructure in 2023, including hundreds of redundancies and sell-offs of businesses Cazoo had acquired during its rapid growth phase, more than 700 other employees have now been made redundant following a consultation period which ended last Friday (17th).

The joint administrators David Soden and Matthew Mawhinney from Teneo are now hoping to secure the sale of the Cazoo Marketplace business, and said they are in discussions “with new and existing parties.

A statement from Teneo revealed that Cazoo Group, which is listed on the New York Stock Exchange (NYSE), is in the process of entering voluntary liquidation. The NYSE has warned Cazoo it is not in compliance with listing standards due to failure to file 2023 financial statements and it is being monitored. Although its shares continue to trade, Cazoo warns that “if circumstances warrant, the NYSE may commence delisting proceedings at any time”.

Login to continue reading

Or register with AM-online to keep up to date with the latest UK automotive retail industry news and insight.



Source link

About The Author

Scroll to Top