1:03pm Tuesday 27th March 2007
By Gareth Lewis
ONE of Southampton's most famous marine names is to disappear from the seas after it emerged no one wanted to buy Sir Chay Blyth's Challenge Business International(CBI).
Hopes the troubled firm could be sold on as a going concern were sunk and now the 18-strong fleet is to be broken-up and disposed off, the Daily Echo can reveal.
It's a sad end for one of yachting's most high-profile events.
Millions followed the Global Challenge, which initially departed from Ocean Village before organisers controversially switched along the coast to Portsmouth, when highlights of the amateurs' race around the world were shown on TV.
The event also forged the reputations of hero British sailors Mike Golding and Dee Caffari before they went on to sail the globe single handed.
Challenge Business first hit stormy financial waters as far back as 2004, when results filed with Companies House showed a loss of £620,663.
The races, which saw inexperienced seafarers pay £28,000 to race around the world with veteran captains at the helm, were beleaguered by cash flow problems and failed to find a big money sponsor.
The business collapsed last year and, initially, hopes of finding a buyer for the fleet were high with administrators receiving five offers from wealthy individuals as well as yachting firms from the UK and abroad.
But none could raise the necessary finance, believed to be well in excess of £2m, and 12 Challenge Business staff have now lost their jobs.
Five yachts have been sold off to private buyers and administrators Grant Thornton say they are now looking to sell off the others piecemeal as well.
Administrator Nigel Morrison said: "We are now just trying to sell off the boats. We've sold five out of the 18 and we're trying to drum interest in the rest.
"People were interested in the company but when they went back to their banks or shareholders to raise the money, it became difficult. The numbers ran into at least a couple of million pounds.
"We are disappointed that we haven't achieved a sale but that suggests that there isn't anyone out there who feels they can make an acceptable commercial return on it.
"Technically the Global Challenge name is still for sale but it is unlikely you will see it resurrected in its previous format."
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