Joules share price slumps again as funding problems persist

The share price at embattled Market Harborough retail chain Joules slumped again on Monday (November 7) after it admitted that it was in talks with founder Tom Joule about providing funding.

The firm’s shares were changing hands for just under 10.5p at close of trading yesterday – down 23.5%.

Joules now has a market capitalisation of just £11.75m.

Declining sales and spiralling costs have led the firm to consider a number of potential options in recent months, including a CVA that could ultimately mean store closures and job cuts.

On Monday morning, Joules said its talks with Interpath Advisory were ongoing but insisted that its turnaround plans were making “good progress.”

In a statement to the London Stock Exchange, the firm said it intended to “commence consultation with key stakeholders, including suppliers” on the turnaround plan including potential alternative options, “should they be required.”

The firm added that it “remains in discussions” with its lender in relation to “the waiver of certain financial covenants in its existing facilities and on its medium-term financing, including a review of covenants, to support the turnaround plan.”