Failed short-break specialist Super Break collapsed owing creditors £49.8 million including nearly £4 million in trade debts, according to the administrator’s report.
Superbreak Mini-Holidays Limited went into administration on 1 August, along with sister company LateRooms.com, after attempts to sell the business could not be completed. Both companies were part of the Malvern Group, which was 49% owned by Cox & Kings India.
Administrator KPMG said in its progress report on Super Break: “The company was loss-making. It had experienced reducing sales volumes and revenues, due to increasing competition in the online travel sector together with restricted marketing and brand spend.”
“The directors received one offer for part of the group’s business and assets on a going concern basis, however due to the group’s financial position and lack of funding support, the prospective buyer was unable to transact in the timeframes required.”
The largest creditor was Super Break’s secured bank India’s Yes Bank, which is owed £46.6 million. KPMG said Yes would “suffer a significant shortfall in respect of its funding provided to the group”.
There are around 900 trade creditors, mostly hotels, who are owed a total of £3.91 million with the largest creditors being Jumbo Tours, which is owed £242,000, rail franchise London North East Railways (LNER) with a debt of £190,000 and IT firm Servatech (£170,000)
KPMG added that in August it had received four offers for Super Break “on a standalone basis” and four offers for the company “plus other group entities in administration”.
“We have accepted an offer for the company assets on a standalone basis,” said KPMG. “At the time of this report, the transaction had not yet completed.”
Earlier this week, Secret Escapes acquired part of the failed LateRooms business.