THE PREPACK sale of the Nathan Furniture company assets leaves unsecured creditors will little prospect of a return, according to a new report by administrator Duff & Phelps.

The Todmorden based business was sold for £56,000 to newco Glebe Furniture Trading Limited, a company under common control, following Duff & Phelps appointment on March 20 this year (see related).

Of the sale, the bulk of the cash was for unencumbered stock, with administrators unable to sell any IP, including brands, as it is all owned by the director, Nicholas Radford, Duff & Phelps said.

Nathan Furniture's debtor book, assigned to Bibby under the terms of its invoice factoring agreement, totals £620,561 with Bibby expected to get back all it is owed.

The only other secured creditor is Mr Radford's Radford Furniture Company Limited, owed £477,587.

Preferential creditors were owed £69,498 and should see a return Duff & Phelps said, though unsecured creditors—owed £1.88 million—will likely not see any cash from the administration.

Among them, Tristar Pacific (£94,857), HMRC (£183,738) and Calderdale MBC (£49,086) are some of the largest creditors, with a number of furniture industry companies owed smaller four and five figure sums.

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