The Office Times

ADVEO hit by lack of stock availability

ADVEO reports that its results during first half of the year were still affected by lack of stock availability particularly in Germany and Spain, linked to its refinancing process. The company posted a loss of 18.3 million euros and a drop in sales of 21.3%.

ADVEO added that liquidity problems will be solved gradually, starting with the injection of €20 million via additional loan obtained from the financial entities. The company has also agreed a sale option for its warehouse in Tres Cantos (Madrid) for €22 million.

In parallel , Staples Solutions B.V . made a non-binding offer in September to acquire all of Adveo's financial liabilities in order to re-capitalize. Such a transaction would mean the elimination of financial debt and build a “multichannel, leading group in Europe in the workspace solutions area.”

ADVEO added that despite liquidity issues it has continued progressing in the implementation of a new technological platform to adapt the business model to the current reality of the market and increase efficiency and competitiveness. In the last quarter, ERP in the French subsidiary has successfully gone live, joining Italy and Germany.