Abbeycrest finance director to quit at end of year

The Leeds-based company, which has been hit by soaring precious metal prices, said Simon Lazenby will resign from the board at the end of the year.

He will help the group on a consultancy basis if needed, the group added.

Abbeycrest has started looking for his replacement.

The company said Mr Lazenby has been working to refocus the group on its two main subsidiaries, Abbeycrest Thailand and Brown & Newirth, implementing a working capital model for each.

“These initiatives are now largely complete,” said Abbeycrest.

“The board thanks Simon for his contribution and wishes him well for the future.”

Abbeycrest typically sells direct to high street jewellers such as Ernest Jones and Goldsmiths, as well as retailers including Argos and Asda.

It plans to open a handful of shops under its Brown & Newirth (B&N) brand in independent shopping areas such as Leeds’ Queens Arcade and Harrogate, in a bid to accelerate its move upmarket.

The group is also opening an online store to support B&N, and plans to build the brand’s share of the UK engagement ring market.

It has also appointed a new creative director, Julie Large, to oversee the development of B&N.

In July, the group said the continuing rise in precious metal prices was forcing it to review its options.

It said that despite a “satisfactory” start to its financial year, its recovery has been “further impeded in recent weeks by difficult trading conditions, including continuing rising precious metal prices and retailer action to protect volumes”.

In June, Abbeycrest said surging bullion prices, pressure from retailers and weak consumer sentiment drove it to a £3m annual pre-tax loss.

The company said it was hammered by a 30 per cent increase in gold prices in 2010.

Investors have piled into precious metals due to concerns over the Eurozone debt crisis.

Abbeycrest said a three per cent fall in revenues to £38.5m was significantly higher when precious metal inflation was factored in. The group added high gold prices are also denting consumer spending.