Creditors in Lunaz, the electric vehicle company backed by David Beckham, are set to lose out on almost £20m after the business entered administration.
According to a new document filed with Companies House by FRP, unsecured creditors in Lunaz are only set to receive a share of just over £1.6m.
The Silverstone-based vehicle electrification business entered administration earlier this year with the majority of jobs lost.
Lunaz Group, which was established in 2018 and was the parent of Lunaz and App Tech Productions, electrified and upcycled classic cars and commercial vehicles, including refuse lorries.
According to documents filed with Companies House, David Beckham holds 200,000 shares in Lunaz Group.
Founder and CEO David Lorenz holds 600,000 shares while other shareholders include OPI Investments, Serum Life Sciences, Glasgow Investments, Blue Endeavor Ventures, progressive Media Investments and PG Ventures Investments.
Following a funding round in 2022, the firm had been valued at as much as $200m.
How did Lunaz enter administration?
In its document, FRP said: “The company has historically raised funding for the group through a combination of convertible loan notes and equity investments.
“In early 2024, the company sought to raise additional funding through a series B fund raise but was unsuccessful.
“In response, the board of directors reviewed the company’s financial position as part of a wider review of the group’s financial position and concluded that the company was unable to continue to fund the ongoing costs of the group.
“The board of directors further concluded that the company was unable to repay its loans and that the company was insolvent.”
How much did Lunaz owe to its creditors?
According to FRP’s document, unsecured creditors are set to lose out on more than £18.8m because of Lunaz entering administration.
There is expected to only be just over £1.6m available to distribute to the unsecured creditors by FRP.
HMRC, which is classed as a preferential creditor, is also set to receive just over £1.6m.
The document also states that there are no secured creditors.