Port Dinorwic Marina Ltd - Case Update

The Joint Administrators of a north Wales marina have revealed their hopes for a sale and how they are continuing to trade the business in the meantime.

Port Dinorwic Marina Ltd, one of a number of subsidiaries under The Marine & Property Group Limited, was placed into administration by its secured creditor Shawbrook Bank on 5 June 2023. Simon Monks, Nicola Clark and Colin Haig of Azets were appointed Joint Administrators.

According to the Joint Administrators’ proposals, the company had historically traded well, but was negatively impacted by the COVID-19 pandemic and operational issues within the group’s finance team. The company currently owes Shawbrook Bank approximately £2.7 million, £1.4 of which relates to a cross-guarantee on debt owing by sister company Burry Port Marina Ltd, which itself entered administration on 7 June. The company’s parent was also previously placed into administration in April.

The Joint Administrators have engaged Christie & Co. to assist in the marketing of the company’s business and assets—the main one being the company’s freehold interest in the 9.16 acre site housing the marina—and are hopeful that a sale can be completed before the end of the year. To enable the company to continue trading in the meantime, the Joint Administrators have agreed a £35,000 short-term funding facility from Shawbrook Bank to meet immediate working capital needs, including to pay wage arrears, complete remedial works and meet insurance requirements at the marina.

The Joint Administrators’ proposals come after the company’s director Chris Odling-Smee said the administration was put in place simply as a protective measure whilst the company worked to raise £35m from a new corporate bond to address cash flow issues. The proposals confirm that the re-finance ultimately could not be achieved. Meanwhile, Mr Odling-Smee has submitted a bid for Burry Port Marina which is being considered.

The Joint Administrators have been assisted by Pinsent Masons. Their proposals can be found HERE.