A London firm is the latest to drum up support for a group action claim – this time representing investors in Patisserie Valerie after the upmarket bakery came close to collapse over alleged accounting irregularities. 

Commercial firm Teacher Stern said it is in the early stages of discussions regarding bringing a claim for loss endured by shareholders in the alternative investment market-listed business.The Gazette understands the groups involved hold ‘millions’ in stock. The firm is also in discussions with a litigation funder, though details of the funder and how much it is willing to put forward have yet to be revealed.

Philip Rubens, partner in the dispute resolution team at Teacher Stern, told the Gazette that the claim would probably take the form of a group litigation order. He added that he hoped to be able to reveal details of the litigation funder shortly.

Patisserie Valerie was saved from collapse two weeks ago when chairman Luke Johnson gave it a £20m lifeline.

Some shareholders also agreed to a share sale. Shares are currently frozen while the company awaits the findings of auditors from accountants PwC.

Other group actions currently in the early stages include an aggrieved group of former VW car owners – formed in the wake of the emissions scandal and a claim on behalf of truck owners in the wake of a fine handed down by the European Commission in 2016 after manufacturers had been found to have operated a cartel stretching back 20 years.

Chris Marsh, Patisserie Valerie’s finance director, was arrested and released on bail without charges. The Serious Fraud Office has said it is investigating.