Chesterfield-based XB Realizations Limited, formerly Xbite Limited, has been sold out of administration, saving all jobs.
James Lumb and Howard Smith of Interpath Advisory were appointed joint directors of the company on July 15, 2022.
The company operated as an online retailer that traded through websites such as 365Games, Roov, House and White, Pukkr, and Shop4World, as well as various other sales channels. The company employed 87 people and had sales of £51.7 million in FY21.
As with many online businesses, the company’s revenue levels have increased significantly during the COVID-19 pandemic, so the company has prepared for continued growth, employing additional staff and expanding into new, larger leasehold premises.
However, the operational and financial pressure of a large-scale infrastructure, combined with the supply chain issues associated with importing from China (including shipping delays and increased container costs) has had an impact on profitability.
With cash pressures mounting, the directors explored options for additional investments, including exploring a potential sale of the business. Despite receiving several offers, a solvent sale could not be delivered in the end. The administrators concluded that the company had no prospect of avoiding insolvency and sought to appoint the joint administrators.
The joint administrators have now completed the sale of the business and certain company assets to an unrelated buyer who now operates as Xbite. All employees transferred to the purchaser as part of the sale.
James Lumb, Managing Director of Interpath Advisory and Co-Director, said: “We are delighted to have completed this sale of the business and wish the acquirer all the best for the future.