Travel booking sites, LateRooms.com and Super Break have collapsed after parent company, Malvern Group went into Administration.
Both have filed a Notice of Intention to Appoint an Administrator and ceased trading with immediate effect.
It is believed that between the two they have 53,000 customers, of which have been affected. 20,000 of these bookings were yet to start their trip.
Cox & Kings, the Indian tour operator, own a 49% stake in Malvern Group. The company’s financial struggles are blamed to be the reason Malvern Group have been forced out of business. Cox & Kings had a loan default about a month ago and since then the situation has rapidly deteriorated, leading to no further investment.
Quite surprisingly, both sites still worked hard to gain business just hours before collapse. Just two days before, Late Rooms tweeted that it was ‘’never too late for a cheeky weekend up in Manchester’’.
KPMG have been appointed by Malvern Group, to help them and the 253 affected employees, through the process. KPMG have retained 43 staff, to take on back-office roles, whilst a buyer is sought. Any parties who are interested, should make their interest aware as soon as possible.
‘’This is a devastating blow for all our wonderful employees who have invested so much time and effort into building Malvern, its brands and the technology platform. This equally is difficult for all of our suppliers, partners and customers who will be impacted by this news’’, said Executive Chairman, Hugo Kimber.
What to do if I have booked a trip with LateRooms.com or Super Break?
Fortunately, Super Break was a member of Abta, so the travel trade body reassure customers that a refund is available and those 400 customers on holiday currently, can continue their break as normal. ‘’The majority of holidaymakers’ arrangements will be covered’’.
However, for those who booked an accommodation-only trip through Super Break, customers are being asked to pay again as Malvern Group cancelled these bookings. Only package trips are financially covered.
Holidaymakers who have a gift voucher, are unable to use them. ABTA group themselves, tweeted to share the news that Super Break had ceased trading,
Late Rooms is not a member of Abta and so did not take payments directly from customers. The site behaved as an agent, leaving bookings with accommodation suppliers secure - It is however advised for customers to contact the supplier of their accommodation directly before travelling ,to confirm the reservation.