BusinessBusiness RecoverySanctuary says CEO ‘isn’t going anywhere’

Sanctuary says CEO 'isn't going anywhere'

Troubled music group says it is seeking a new non-executive chairman but chief executive 'isn't going anywhere'

Sanctuary has insisted that its chief executive, Andy Taylor, will continue
to lead the group, despite newspaper reports that it may not succeed in a £100m
rights issue with him at the helm.

A Sanctuary spokesman told The Times yesterday that the group was
seeking a new non-executive chairman but Taylor ‘isn’t going anywhere’.

Sanctuary told the paper it was ‘exploring a number of options’, including a
capital raising, to reduce its massive level of debt. Analysts have predicted
the rights issue could be carried out very soon – possibly before the end of the
year.

However, one analyst expressed surprise in The Times that the
group’s announcement didn’t mention Andy Taylor’s tenure.

‘If this was a private equity-owned business, the chief executive would have
been sacked,’ he said. ‘I can’t believe that anyone will buy the issue with
(Taylor) as chief executive. I’d say the plan lacks credibility.’

In the past year, the group has issued four profit warnings, and admitted in
October that its end-of-year balance sheet will show net liabilities, meaning,
technically, that the business is worth nothing.

Taylor admitted yesterday that the group had expanded too rapidly, but that
it was ‘working very hard to reset the business for future sustainable growth’.

Sanctuary is cutting a quarter of its staff worldwide and selling non-core
assets as part of a significant restructuring effort.

Related Articles

Investment firm acquires Avon Steel Company Limited

Business Recovery Investment firm acquires Avon Steel Company Limited

1w Emma Smith, Managing Editor
Manchester law firm enters into administration

Business Recovery Manchester law firm enters into administration

1w Emma Smith, Managing Editor
KPMG appoints new global head of insolvency

Business Recovery KPMG appoints new global head of insolvency

4w Emma Smith, Managing Editor
EY hired by Carillion to review finances

Accounting Firms EY hired by Carillion to review finances

5m Alia Shoaib, Reporter
Using insolvency as a debt recovery tool

Business Recovery Using insolvency as a debt recovery tool

6m Emma Smith, Managing Editor
UK government should support mid-sized businesses to create a ‘new economy’ post-Brexit, says BDO report

Business Recovery UK government should support mid-sized businesses to create a ‘new economy’ post-Brexit, says BDO report

8m Alia Shoaib, Reporter
Over 800 jobs saved as Endless LLP acquires Jones Bootmaker

Business Recovery Over 800 jobs saved as Endless LLP acquires Jones Bootmaker

9m Emma Smith, Managing Editor
FRP Advisory expands operation with new office, partner appointments

Accounting Firms FRP Advisory expands operation with new office, partner appointments

10m Emma Smith, Managing Editor