Shares suspended in Handmade films

Handmade recently signed a major deal with the Duchess of York
12 April 2012

The British film-maker which recently signed a major deal with the Duchess of York has asked for its shares to be suspended due to uncertainty over its financial position.

Handmade - the group behind hits such as Withnail and I, Time Bandits and more recently 50 Dead Men Walking - said it had launched a "detailed review of its financial position", but declined to reveal more details.

The group hit the headlines last October when it announced a deal to buy the TV and merchandising rights to Sarah Ferguson's recent children's books and her "brand" in the US and Canada.

Handmade plans to turn her books Tea For Ruby and Little Red, which have been highly popular in America, into animated series.

It also signed her up for a six-part series with National Geographic re-tracing the journey of great women explorers, called In the Footsteps Of, saying she was being paid "substantial amounts of money" for the whole deal.

Handmade raised £17 million to cover the deal and the takeover of US animation cartoon studio Animated Collective, while it also wanted to invest in a new joint venture with National Geographic Kids Entertainment as part of the push into children's programming.

In a brief statement to the stock market today, Handmade said: "The company is undertaking a detailed review of its financial position to establish the cause of the uncertainty and expects to be in a position to update the market in due course."

Handmade was founded by former Beatle George Harrison, sold following his death to Patrick Meehan - the former manager of Led Zeppelin and Black Sabbath - whose family remains the largest shareholder in the group.

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