Eatonfield taps up partner ahead of key vote

BELEAGUERED Cheshire developer Eatonfield has been forced to further dip into an equity drawdown facility to fund working capital.

The business, based in Tarporley, has an agreed facility worth £1.25m with a joint venture partner Jenard Properties.

So far £600,000 has been drawn down and today Eatonfield has taken a further £77,650 in exchange for 7.7 million shares at 1p each.

The company has already told shareholders that the balance of £575,350 will see it through to July but it needs their approval to issue the shares that will allow it to access the cash.

This will be decided at a meeting on Friday. Shareholders have been warned that if they fail to back the scheme the company may be forced into administration.

“The board continues to seek further equity funding and has confidence that additional equity funding will be made available to the group and will provide an update at the appropriate time,” added the company today.