Patisserie Holdings has announced that Chris Marsh has resigned from his position as finance director.
The move follows the suspension of Marsh earlier this month, after the discovery by the company of serious accounting irregularities and the urgent need for a £20m cash injection. Two days after his suspension, Marsh was arrested by police and released on bail.
In a statement released today, Patisserie Holdings reported: “Following the suspension of Chris Marsh on 9 October 2018, the company has now accepted his resignation as the company’s finance director with immediate effect, while reserving its position in respect of any potential claims it may have against him.”
On Wednesday the business announced that a winding-up petition against its trading subsidiary Stonebeach Limited had been dismissed.
Total number of sites: 206 *
Brands: Patisserie Valerie (153 sites), Philpotts (22), Druckers (20), Baker and Spice (4), Flour Power City Bakery (1)
Food/drink split (2017): 57/43
Eat in/takeaway split (2017): 65/35
Turnover: £60.5m (six months to 31 March 2018)
EBITDA: £13.6m (six months to 31 March 2018)
HQ location: Birmingham
Key management: Paul May, CEO; Luke Johnson, chairman
Patisserie Holdings has a vertical supply chain, producing goods in-house at seven bakeries and delivering them to stores. Products are also sold online.
Since acquiring the Patisserie Valerie business in 2006, the business has expanded rapidly through acquisitions and openings to more than 200 sites. In its current financial year, the business has been aiming to open 20 stores.
1926: First Patisserie Valerie café opened in Frith Street in London’s Soho by Madame Valerie to introduce Continental-style patisserie to the English
1939-1945: Café destroyed by bombing in Second World War, and Madame Valerie opens new Patisserie Valerie on nearby Old Compton Street
1945-2005: Patisserie Valerie grows to eight sites in central London
2006: Luke Johnson’s private equity firm Risk Capital Partners backs acquisition of Patisserie Valerie by Patisserie Holdings
2007: Acquires Druckers – Vienna Patisserie
2009: Acquires Baker & Spice, which operates sites in London and Oxford
2013: Acquires London-based organic bakery Flour Power City Bakery
2014: Acquires the Philpotts food supply and café chain
2014: Patisserie Holdings listed on Alternative Investment Market
2016: Annual sales exceed £100m for the first time
2017: Launches trial partnership with Sainsbury’s, selling branded products on 12 supermarket counters. Partnership is a success and has since been expanded to 70 stores.
10 October (AM): Share trading suspended as company launches investigation into serious accounting irregularities. Chief financial officer Chris Marsh suspended.
10 October (PM): Winding-up petition filed at the High Court relating to £1.14m owed to HMRC by Stonebeach Limited, the company’s principal trading subsidiary.
11 October: Patisserie Holdings reports it cannot continue to trade in its current form without immediate cash injection.
12 October: Chris Marsh arrested by police and released on bail.
15 October: Share offer raises £15.7m to help Patisserie Holdings continue trading, while chairman Luke Johnson provides £20m in loans.
24 October: Stonebeach winding-up order is dismissed.
26 October: Chris Marsh resigns from finance director role.