CV Resorts Ltd - Why Valuation Impaired? How Does it Affect LCF?

I've previous reported about the valuation of a company called CV Resorts Ltd that was lent money by London Capital & Finance and suddenly had a massive boost to the value of its assets at the same time. CV Resorts Ltd had an increase in valuation of £23 million at the same time as being loaned £5 million by LCF.

CV Resorts Revaluation - Asset Impaired?
CV Resorts Revaluation - Asset Impaired?
The company that was linked to CV Resorts was called Waterside Villages Ltd. According to this news article in 2015 it was planning a massive expansion with investment from China to invest £250 million to create "the largest and most desirable private waterside village in Britain"

Could this failed investment be the reason why?

However by late 2017 the plans had been dropped. Shortly afterwards CV Resorts announced that its assets had been impaired and the valuation would be revised in due course. In suspect that this is a prelude to writing off the investment and loan in the company. Note that CV Resorts has never traded or made any profits according to the accounts submitted.

A plan to turn a country club in Cornwall into a £30 million holiday resort was one of a dozen of projects in the UK dropped by a Chinese investment company
https://www.cornwalllive.com/news/cornwall-news/disney-lakeview-bodmin-liverpool-sinofortone-586496

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