Thorn Medical has written to shareholders to tell them that the company is insolvent and will be placed in voluntary liquidation.
Thorn Medical is a healthcare company, founded in July 2014 by Jack Kaye. In 2015, the company announced that it was planning a £350 million listing on the London Stock Exchange. A listing on the USA’s Nasdaq was also planned. In early 2016, the company appointed Sir Eric Peacock, Sir John Lucas-Tooth, and Lord Beaverbrook to its board.
But in December 2014, Thorn Medical had hired Opus Capital as its Corporate Advisor. That struck me as an odd thing to do, given that Opus Capital’s director Paul Seakens had been involved in several scam companies that sold carbon credits as investments to retail investors.
REDD-Monitor asked Thorn Medical some questions about its due diligence process in hiring Opus Capital. A reply came from Henry Gewanter, Managing Director at Positive Profile Limited, who told me that he was in charge of corporate communications for Thorn Medical.
Gewanter wrote that Opus Capital was no longer acting as Thorn Medical’s advisor, and that I should “immediately remove any mention of us from the article on your website”. You can read Gewanter’s email here.
Over the next few months, Thorn Medical withdrew from listing on the London Stock Exchange.
On its website, Thorn Medical boasted that it had issued a total of 103,625,627 shares. Several worried shareholders contacted REDD-Monitor asking whether their shares, bought for between £1 and £2, were worth anything at all.
The listing on the Nasdaq also fell through. By May 2017, Sir John Lucas-Tooth Lord Beaverbrook, and Sir Eric Peacock had all resigned from Thorn Medical’s board.
On 14 August 2017, Thorn Medical held a board meeting and concluded that the company was insolvent. A general meeting of shareholders will be held on 6 September 2017. Thorn Medical’s directors have hired Myers Clark to manage the liquidation process. At the general meeting shareholders will vote on whether Thorn Medical will be wound up voluntarily, and shareholders and creditors will decide whether to ratify the appointment of Myers Clark.
From: adminstration firstname.lastname@example.org
Sent: 16 August 2017
Subject: Thorn Medical
It is with great regret that the Directors have reluctantly come to the conclusion that given the company’s failure to list its securities on a London based market, coupled with outstanding claims from ex directors and service providers, the company is not in a position to meet its financial obligations and therefore must be wound up.
The Directors have appointed Myers Clark to manage the process, and to this end, please find attached documentation whcih you should read, complete and return.