Made.com may be closing as company bosses reveal that efforts to find potential buyers have been in vain and that they've stopped taking new orders for the moment.
Fans of home decor, stylish interiors, chic design, and the most up-to-date interior design trends are likely all too familiar with the furniture giant's stylish products. Unfortunately, however, it may be curtains for the high-end retailer as the company's bosses reveal last-ditch attempts to find a potential buyer have remained fruitless.
Back in early October 2022, company bosses revealed that they were in discussions with "a number of interested parties," and that they'd set an end-of-the-month deadline for any potential offers. Subsequently, the Guardian (opens in new tab)reported that Made.com bosses said none of the interested parties were able to meet the timetable necessary to take over the business and that they are, “no longer in receipt of funding proposals or possible offers for the issued and to be issued share capital of the company."
In a statement to the stock market, Made.com bosses said, "If further funding cannot be raised, or a firm offer for the company is not received before the company’s cash reserves are fully depleted, the board will take the appropriate steps to preserve value for creditors.”
(Image credit: Budrul Chukrut/SOPA Images/LightRocket via Getty Images)
Afterward, the business said its operating subsidiary Made Design Ltd (MDL) has, "taken the decision to temporarily suspend new customer orders." They added, "This decision remains under review and a further announcement will be made as appropriate."
Share prices of the company dropped by more than 90% on Tuesday October 25, 2022, plummeting to just 0.5p per share. This devastating figure comes after what's been dubbed a 'disastrous trading period' for the company that, per BBC News (opens in new tab), "employed around 700 staff at the end of last year."
Made was initially listed on the London Stock Exchange back in June 2021, with a value of £775M. Since then, they've been hit with challenges faced by many companies across the globe including supply chain issues and tightening of purses in the midst of the cost of living crisis.
As of Wednesday, October 26, Made's website was down and simply says, "We're making some important updates to improve your shopping experience." So what does this mean for people who are waiting on orders from Made.com to arrive?
At the time of writing, Made has yet to make a statement regarding fulfillment of outstanding orders or whether customers will be refunded gift cards.
Despite their current woes and suspending sales, the company hasn't gone into administration as of yet and experts including Which.com (opens in new tab) suggest that if you're in possession of a gift card and they re-open sales, you should spend them immediately. This is because if it ends up falling into administration, administrators can make the decision, at any point, to stop honoring gift cards and vouchers.