Phones 4u Limited (‘P4U', 'Phones 4u' or ‘the Company’) in administration- UPDATE Re: EE

Published at 10:05 AM on 22 September 2014

The Phones 4u administrators can confirm that a deal has been agreed with EE which will see the mobile network firm pay £2,500,000 to acquire 58 Phones 4u stores, preserving 359 jobs. The stores will be re-branded to EE in due course.

The transaction includes Phones 4u’s interest in the 58 stores' leasehold properties and their fixtures and fittings and various associated contractual rights and obligations, but does not include store inventory, which will be recovered and realised separately by the administrators.

The deal has been agreed between the parties but remains subject to Court approving the release of the fixed charge security held on behalf of the secured creditors. The administrators will be making an application to the Court on 22 September 2014 for the release of the fixed charge security that will enable the sale to be completed. Any senior secured noteholder who wishes to make representations at that hearing should in the first instance contact Citibank N.A., London Branch in its capacity as the Senior Note Trustee and provide proof of their holding of the notes. (Telephone 020 7508 0038; email: [email protected] marked for the attention of Laura Hughes & Jillian Hamblin).

It is the administrators' intention to have one Court hearing covering both this disposal and that announced on 19 September 2014 to Vodafone.

Rob Hunt, joint administrator and PwC partner said:

"We are absolutely delighted to have completed this further disposal of 58 Phones 4u stores, which will both recover value for secured creditors and save 359 jobs. As with the Vodafone transaction, we consider that this represents the best potential outcome for creditors in the circumstances, although it remains subject to the approval of the UK courts."

ENDS

Notes to editors

1.  On 15 September 2014 Robert Jonathan Hunt, Ian David Green and Robert John Moran of PwC were appointed as administrators to Phones 4u Limited (P4U), a leading independent mobile phone retailer with an annual turnover of £1 billion, operating from more than 700 outlets with 5,596 employees. P4U’s insurance arm Policy Administration Services is also in administration.

2.  Other companies in the P4U group which do not have any trading assets, but have also entered administration are: 4u Wi-Fi Limited, 4u Limited, Jump 4u Limited, MobileServ Limited, Phosphorus Acquisition Limited, Phones 4U Group Limited, Phones4u Finance Plc

 


Twitter
LinkedIn
Facebook
Google+

About PwC

At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 157 countries with more than 208,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com.

PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details. © 2016 PwC. All rights reserved

« Simon Hampton joins PwC from Jefferies to lead real estate deals business | Homepage | Phones 4u Limited (‘P4U', 'Phones 4u' or ‘the Company’) in administration- UPDATE Re: store closures »

  • Contact us
  • +44 (0) 20 7213 1768

Specific and out of hours contacts