NIMBUS LIGHTNING PROTECTION LIMITED

Credit Opinion: DECLINE Reasoning: The company is currently in liquidation. Extending credit to an entity in formal insolvency proceedings carries an absolute risk of default. The registered office has been moved to the offices of Johnston Carmichael, a firm known for insolvency and restructuring, which confirms the cessation of normal trading operations and the appointment of practitioners to wind up the business. No further credit exposure should be considered.

Financial Strength: The company's balance sheet is effectively defunct. While the filed accounts category notes an "Audit Exemption Subsidiary" with accounts made up to September 2023, the current liquidation status supersedes any historical financial data. The share capital stands at a nominal £721. The Persons with Significant Control (PSC) is listed as Ptsg Electrical Services Ltd, which owns over 75% of the shares. This indicates that Nimbus Lightning Protection Limited is a subsidiary that has been pushed into liquidation, likely as part of a wider group restructuring or to ring-fence liabilities. From a credit perspective, the entity is insolvent and unable to support new debt.

Cash Flow Assessment: Cash flow generation has ceased. In a liquidation scenario, any remaining cash or realized asset value falls under the statutory waterfall of payments. Secured creditors with fixed charges will be paid first, followed by preferential creditors (such as employees and HMRC), then floating charge holders, and finally unsecured creditors. Any new credit extended now would rank as an unsecured claim with a near-zero prospect of recovery. Working capital is entirely impaired, and the company has no capacity to service ongoing operational debts.

Monitoring Points: - Liquidation Status: Monitor the London Gazette for official notices regarding the type of liquidation (Compulsory or Creditors' Voluntaryary) and the appointment of the liquidator. - Group Exposure: If the bank has wider exposure to the parent company, Ptsg Electrical Services Ltd, that relationship should be urgently reviewed to ensure group-wide contagion risks are managed. - Director Conduct: Directors Adam John Coates and Paul William Teasdale should be monitored for future directorships or disqualification orders, as their stewardship has resulted in the failure of this entity.