08 June 2020

Lookers shares are expected to be suspended from 1 July as the group has revealed it is not expecting to be able to publish its results for 2019 by the end of the month – the last permitted date for publication.

In a Stock Exchange announcement, Lookers said its auditors would not be able to produce the, already delayed, report by the 30 June deadline set by the Financial Conduct Authority. Lookers also added it was parting company with its auditor Deloitte.

The statement follows last week’s announcement that the group intends to shed 1,500 jobs.

The delay, it claims, has been caused by the draft report by Grant Thornton into the potential fraud reported by the retailer at the start of the year.

A company statement from CEO Mark Raban said: “Having discussed the Draft Report with Deloitte and with that report to be finalised, the Company has concluded that the additional procedures that the Company and Deloitte will now need to perform in order to finalise the 2019 Results means that it will not be possible to publish the 2019 Results by 30 June 2020.

“This is the last date permitted for publication of the 2019 Results under the Financial Conduct Authority’s (the “FCA”) Disclosure Guidance and Transparency Rules (as modified by the temporary relief granted to all listed companies by the FCA on 26 March 2020).

“After consultation with the FCA, if the 2019 Results are not published by 30 June 2020 the Company anticipates that trading in the Company’s shares will be temporarily suspended with effect from 7.00 a.m. on 1 July 2020 until publication of the 2019 Results. The Company’s priority and focus is the production of the 2019 Results at the earliest possible date and by no later than the end of August 2020.

“The Board and the Company’s finance team is working closely with Deloitte and is developing an action plan to ensure that the additional work required to allow publication of 2019 Results is completed as soon as possible.

Deloitte has indicated to the Company that it intends to resign as auditor following the publication of the 2019 Results.  The Company is currently engaged in a competitive tender process to appoint a new auditor.”

Tags: Lookers