The owner of Patisserie Valerie has suspended trading after discovering multimillion pound “accounting irregularities”.
Its statement to the stock market ahead of the usual start of trading stated: “During the course of 9 October 2018, the board of directors of the company has been notified of significant, and potentially fraudulent, accounting irregularities and therefore a potential material mis-statement of the company’s accounts.
“This has significantly impacted the company’s cash position and may lead to a material change in its overall financial position. As a result, the company has requested that its shares be suspended from trading on AIM while it conducts a full investigation with its legal and professional advisers into its true financial position…”
The finance director Chris Mash has been suspended, the company further stated.
Chiarman and entrepreneur Luke Johnson, who owns 37 per cent stake in the businesses, added: “We are all deeply concerned about this news and the potential impact on the business. We are determined to understand the full details of what has happened and will communicate these to investors and stakeholders as soon as possible.”