U.K. self-storage company Big Yellow today announced a pre-tax loss of £71.5 million for the year ended March 31, 2009, down from a profit of £102.6 million in the prior year. The loss was mainly due to the reversal of revaluation gains booked in the previous year, it said.
The company will also sell up to 11.6 million new shares at 10 pence each to allow it to take advantage of property market conditions and fund the development and acquisition of sites.
David Ross, who holds a 9.92 percent stake in Big Yellow, today put £250,000 into the self-storage company, where he quit as a director last year. He and current members of the board will buy £680,000 worth of shares. Ross was forced to resign from the boards of Big Yellow, Carphone Warehouse and National Express last year after pledging some of his company shares as collateral against loans.
Big Yellow operates 54 self-storage facilities throughout the United Kingdom.
Source: Daily Mail, Big Yellow swings to loss and places 11.6m shares for sale