The decision means the developer’s proposed acquisition of NorthCountry Homes Limited — which was announced in July this year — will not go ahead.
The firm had been battling several complications since autumn last year, when Stephen Wicks stepped down as the group’s CEO on 30th September 2022 — during this time, the group was expected to make an operating loss before taxation of £37.1m.
In spring this year, FRP Advisory Trading was appointed to undertake an independent review of Inland Homes, after the developer failed to produce its annual report for the year ended 30th September 2022.
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Subsequently, trading of the company’s shares on AIM was suspended on 3rd April 2023.
In addition, Inland Homes confirmed it is in active discussions with HSBC concerning a breach of certain historic and forward-looking covenants in relation to a debt facility of £13.6m provided to its subsidiary, Inland Homes Developments.
Inland also anticipates that it is likely to be in breach of covenants with other lenders shortly and it has already initiated discussions with such lenders.
In a statement published on 27th September, Inland Homes said the appointment of administrators was in the best interest of all stakeholders.