It is with great regret and sadness that we announce that as of today Glow Labs is now under liquidation and can no longer provide further services.
Last spring when the economy went into a second recession we began to struggle with sales, in September and in an effort to elevate cash flow difficulties we signed a contract to deliver a new technology platform, this contract was heavily weighted in favour of the client.
In autumn, we considered several trade sales and signed an agreement to join an emerging media group, scheduled for January 2013.
In December, the working relationship with the technology platform client had become very strained and we had made a very large loss on the project. As such we sought to wrap the project up and terminate the relationship. This was rejected and we continued to work to complete the contract. The client rejected our deliverables and began a litigation proceeding to acquire the work done though an injunction, rather then payment of services to date.
While our buyer had been fully briefed regarding the situation with technology platform client, the day before the share transfer, we received draft proceedings from technology platform client and the buyer pulled out.
On 18th January Glow Labs was served a high court order to provide all the work done to date to said client. With this bad debt, and the loss of the buyer Glow Labs was left insolvent and nominated Griffins to assist the Directors in placing the Company into Liquidation, and yesterday their appointment was confirmed.
Glow Labs’ Managing Director, Mayur Upadhyaya adds: “It’s been a very sad start to 2013 and not how any of us thought it would end. At our peak we employed nearly 20 people, always experienced growth and had the pleasure to work with some of the most prestigious organisations in the world. It’s a real shame we where denied the chance to take Glow Labs to the next level. I do want to thank all our clients for being so caring and understanding during this difficult time. I want to especially thank the team at Glow Labs who have been so supportive; it was an honour and privilege to work with each and every one of you”
Any questions about the liquidation, please contact Griffins, Tavistock House South, Tavistock Square, London, WC1H 9LG.