Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

Cash flow problems hit Maypole hotel group

19 February 2009 by
Cash flow problems hit Maypole hotel group

Hotel operator the Maypole Group today revealed it is in talks with its lenders after a poor fourth quarter of 2008 raised doubts over its future.

The group, which owns six hotels in the UK, admitted that it was experiencing "significant pressures" on its cash flow.

In a statement, Maypole said: "Trading in the fourth quarter of 2008 was disappointing and considerably below our expectations and the equivalent period in 2007.

"This has resulted in significant pressures on the group's cash flow. We are in discussions with our bankers with a view to agreeing a solution and it is expected that decisions will be reached by the end of March 2009.

"Our strategy is being reviewed, particularly with a view to reducing costs meaningfully, and fund-raising options are being considered to secure the company's position going forward."

The company was founded in November 2003 and, in February 2004, it raised £607,798 by way of a private placing to assist with its first acquisition, the 32-bedroom Wroxton House hotel near Banbury in Oxfordshire, for £2.15m.

The acquisition of The Lifeboat Inn and Old Coach House, both located in Thornham, Norfolk, was completed in April 2005 for an aggregate price of £5m.

In March 2007, Maypole completed the acquisition of the 15-bedroom Wayford Bridge Hotel, Norfolk for a total consideration of £1,950,000.

Maypole expands to seven sites >>

Maypole buys fourth countryside hotel for £1.95m >>

Maypole buys Norwich inn for £300,000 >>

Jobs go at all levels as hotel groups cut back >>

By Gemma Sharkey

E-mail your comments to Gemma Sharkey here.

Caterersearch.com jobs
Looking for a new job? Find your next hotel job here with Caterersearch.com jobs

The Caterer Blog](http://www.caterersearch.com/blogs/catering-news-blog/) Catch up with more news and gossip on the Caterer Blog here
[Newsletters For the latest hospitality news, sign up for our e-mail newsletters.
TagsFinance and Hotels
The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.


Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking