Tax demand forces Minorplanet to sell UK arm

The Leeds-based company said it has received notification of Revenue and Customs' intention to execute a winding up petition against its UK trading subsidiary, Minorplanet Ltd, to recover the money, and a court date of May 5 has been set.

Minorplanet's UK arm accounts for 40 per cent of the group's turnover. The firm said it believes the group and its other subsidiaries can continue to trade and have sufficient funds to meet their immediate financial obligations.

"Following notification, advisers have been appointed to effect a sale of the UK business in order to meet its current obligations to creditors," said the group.

"The group continues to monitor its financial position closely and will update the market with additional information when it becomes available on or prior to May 5."