A YORK company that designs, manufactures and fits out visitor attractions has announced that it has gone into administration.

Paragon Entertainment, which is located on the Elvington Industrial Estate, York, said that "it has been in discussion with its lending bank, HSBC, as the company currently does not have enough cash to continue to trade and to pay its creditors in time".

The company, which trades on the London Stock Exchange, confirmed to the exchange market that it had stopped trading shares and that its CEO, Damien Latham, has resigned from the company with immediate effect.

The Press approached Paragon for a comment but received no response.

However, in a statement to the London Stock Exchange, the company said: “In the light of the above and the operational and financial uncertainty which the company now faces, and in order to protect both shareholders and creditors, the board has taken the decision to place the company into administration and intends to appoint administrators shortly with the purpose of seeking buyers for the company’s business and assets on a going concern basis.

“As a result, the board announces it has requested a suspension of trading in its shares on AIM with effect from 2pm on 20 June 2019. Damien Latham, CEO of the company, has resigned from the business with immediate effect.”

“The board has resolved to appoint administrators to the company as soon as possible.”

Last year, The Press reported that the company had completed the first in its new Dig It range of family entertainment centres, designed and developed at its Elvington headquarters, that would be shipped to The Springs Souk in Dubai, UAE.

In 2017, the company recorded profits of £3.45 million on various projects including Hunger Games and Area Development at Dubai Parks and Resorts, Little Explorers in Riyadh and Cairo, Egypt Galleries at the National Museum of Liverpool, Cheshire Fire and Rescue Centre, National Trust for Scotland and Walking Dead at Thorpe Park.

Last year the company also worked on projects with Hamleys and Euro Disney.