“Contractual issues” put paid to deal.
HLM Investment Group, the parent company that owns distributor Westgate, has terminated the acquisition of Gatehouse (Design Headwear Ltd).
“Unfortunately, there were several contractual issues that Gatehouse were required to resolve before the acquisition could be completed,” said a legal representative from HLM.
“Despite being given time to do so, these remained outstanding and could not be dealt with to our satisfaction and the decision was taken to terminate the acquisition.”
Westgate is to continue to distribute Gatehouse products in the short term, adding it will “assist in helping them move forward and find alternative distribution.”
David Mitson, CEO of HLM Investment Group, said: “The entire team and I wish Gatehouse every success, and hope to see them build a bright future in the years to come.”