Targetfollow loses fight against administration

Targetfollow has lost its recent battle in court against being pushed into administration. Lloyds Banking Group appointed Deloitte to proceed with the administration procedure for subsidiary Targetfollow Property Holdings after winning in the High Court case.

Targetfollow Property Investment and Development, responsible for the landmark Centre Point building, is due to follow suit shortly.

A third of Targetfollow’s total debts - £700 million is owed to Lloyds after a loan arrangement of £223 million expired during the summer, and a further £453 million matures this month.

Lloyds commented: "It is now up to the administrators to determine the best course of action, but as officers of the court, their responsibility will be to find a solution that is in the best interests of all creditors."

A proposal agreed between Targetfollow founder Ardeshir Naghshineh and a consortium for a rescue cash injection of £150 million, had been rejected by Lloyds.

Mr Naghshineh said, "Obviously we are disappointed at this turn of events because, as is widely understood in the property industry, myself and my expert team are the best people to extract full value from the portfolio."

The Norwich-based group owns several commercial properties in London, including the Can of Ham office development site. Targetfollow Estates, the management business, has not been affected by the administration.

Share this article

Latest Businesses for Sale

View more businesses for sale