Vertu, the luxury phone brand, has been in a debt of £128 million.
Vertu's £128million ($165 million) of debt meant it could not pay staff or its bills, and last week the Mail revealed around £500,000 ($645,000) was allegedly missing from its pension fund.
In March of this year, the Chinese owner sold the company to Hakan Uzan, a Turkish businessman living in Paris. Ouch! Both sides threatened to sue each other and the fate of about 200 workers was hanging in the balance. All this while, the jobs of around 200 employees in the United Kingdom manufacturing operation was in danger.More news: Earnings Watch & Stock Update
The jobs of almost 200 United Kingdom workers at the firm will be lost after an ambitious rescue plan by a Turkish millionaire failed to keep the company afloat. At that time, Vertu had racked up debts in excess of £125 million (about United States dollars $160 million) and was facing bankruptcy. They're lined with special kinds of leather, exquisite metals and plenty of jewels to rack up the prices, and earn the title of the most expensive phone brand. To be specific, Vertu had a reported accounting deficit of £128m according to The Telegraph, an incredible amount compared to the £1.9m deal the company was bought-out for just a few months ago. Its smartphones featured details like embedded rubies and sapphires, 18 carat gold, and alligator leather. Vertu allowed customers to speak to the people who have built their phone. He retains the ownership of the company, technology and licenses. It also provided round the clock concierge services to the users such as delivering the phone through helicopter.
For those who are unaware, Vertu got its start back in 1998 when it was a part of Nokia. It was sold to Godin Holdings in 2015.