Vaping company VIP goes into administration
08-Mar-2017Owned by US giant Electronic Cigarettes International Group (ECIG), the company Must Have Ltd (which trades as VIP across the UK) has gone into administration after failing to pay a £2.5 million tax bill.
Appointed administrator, FRP Advisory, has stated the company will continue to trade whilst a buyer is sought for the business. However if unsuccessful, over 100 stores and 265 staff could be affected.
ECIG said in a statement:
“Despite multiple attempts to satisfy the tax obligation and other expected near term obligations, the company is unable to continue to fund the operations or any obligations of Must Have Ltd.”
“Legacy financial commitments and MHL's underperformance in the UK prevented the subsidiary from meeting its financial obligations”.
More on this to follow...