A self-imposed deadline of June 28 by Booktopia to revive trading of its stock has come and gone with the struggling Australian online retailer asking for another delay until July 19.
In his announcement, Booktopia secretary and general counsel Alistair Clarkson once again said that the company continues to seek funding to improve its liquidity in order to keep operating. Part of that funding would be used to pay the costs for laying off 50 employees, a move that would save money in the longterm, but which the company does not have the necessary cash to implement.
As part of its efforts to raise funds, Booktopia is hoping for support from suppliers and shareholders. Clarkson reported that “due diligence has been undertaken by some of these parties and the company is now seeking to meet the preconditions required for any funding to be made available.”
As part of the scramble to remain operating, Booktopia founder and ousted CEO Peter Nash has taken on the role of sales director in an attempt to improve cash flow, according to Business News Australia.
Clarkson said that the timetable for coming out of suspension depends “on the form any potential funding takes,” which he now hopes Booktopia will have a better understanding of by July 19.
