Liquidation of Milano International Limited
CEPS PLC has announced the liquidation of its subsidiary, Milano International Limited, due to its non-commercial viability, with Moorfields Advisory Limited appointed to manage the creditors' voluntary liquidation and seek offers for Milano's assets. This liquidation is expected to result in a write-off of approximately £600,000 from intercompany balances owed to Friedman's Limited, another CEPS interest. Furthermore, CEPS anticipates an increase in its provision against loan notes owed by Signature Fabrics Holdings Limited by approximately £400,000, from £860,000 to £1,260,000, and will fully impair the remaining goodwill balance of £264,000 related to Milano in its consolidated interim accounts. Milano reported turnover of £1.85 million and a pre-tax loss of £156,571 for the year ended 31 December 2025.
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CEPS announces that, following a review of Milano International Limited's ("Milano") operations and financial position, the board of Milano has concluded that it is no longer commercially viable for the company to continue trading. Accordingly, the board of Milano has instructed Moorfields Advisory Limited ("Moorfields") to assist with placing Milano into creditors' voluntary liquidation ("CVL"). Formal liquidation notices are being prepared and are expected to be issued later today. Moorfields will now invite offers for Milano's assets.
Milano (trading as Milano Pro-Sport) is a designer and manufacturer of leotards. Milano is wholly owned by Milano International Holdings Limited, which in turn is 90% owned by Signature Fabrics Limited, in which CEPS plc holds a 67.5% interest.
As a result of the CVL, Friedman's Limited, in which CEPS also holds a 67.5% interest, expects to incur a write-off of approximately £600,000 from the intercompany balances owed to it by Milano.
There are also likely to be certain non-cash impacts. It is estimated that as no realisation is now assumed from the Milano business, the provision against the £2,132,000 of loan notes owed by Signature Fabrics Holdings Limited to CEPS plc at entity level will need to increase by approximately £400,000 from £860,000 to £1,260,000.
The remaining goodwill balance in respect of Milano of £264,000 will be fully impaired in the consolidated group interim accounts to 30 June 2026 and the effective disposal of Milano as a result of the CVL will, in due course, be reflected in the full year's results.
In the year ended 31 December 2025, Milano achieved turnover of £1.85 million and made a loss before tax of £156,571.
Interested parties requiring further information on the business mentioned above should contact Moorfields as follows:
Moorfields Advisory Limited
88 Wood Street
London
EC2V 7QF
Principal Contact: Milan Vuceljic
A further announcement will be made in due course.
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.