Hibu, the company that emerged from the debt disaster of Yell, says some investors face losing all their money as negotiations continue over restructuring.
The group, which publishes the Yellow Pages, says discussions with lenders over a new capital structure involve options "which may attribute little or no value to the group's ordinary shares."
Hibu also says declines in legacy product revenue means it will miss earnings targets for the full year.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The stocks lost 27% in morning trading leaving the once mighty firm's market cap at just £11.8m.
BS
-
Why CEOs deserve a pay riseOpinion The CEOs of big companies often come under fire for being grossly overpaid. But the truth, as per some economists, is the opposite. Do they merit a pay rise?
-
Europe prepares to stand alone as Trump turns on UkraineSupport for old military alliances is wavering in the US under Donald Trump. Europe’s leaders are rushing to fill the void. Simon Wilson reports
