BGN Entrepreneur

As furniture chain MFI battled for survival, a news comes that shares in Woolworths were suspended at 1.2p on the stock market this morning as bosses faced a race against time to trash out a rescue plan.
Woolworths is in desperate need of a cash injection and is said to be struggling to pay the wages. The ailing company, with 30000 staff nationwide, is up for sale at a nominal price of 1 pound, but comes with debts of 385 millian pound. The company’s shares were suspended to give it time to agree a deal with banks and potential bidders.
The company is hoping to sell 800 of its stores to rescue specialist Hilco, while the BBC has agree to pay 100 millian pound to buy its 40% stake in the DVD publisher 2entertain. But Woolworths warned there can be no assurance the sals would be completed.
Analysts say unless a rescue deal can be agreed, the company, which is still trading, will almost certainly be forced into bankruptcy.

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