StockMarketWire.com - Patisserie Holdings, the parent company of cafe chain Patisserie Valerie, said Monday talks with its bankers were ongoing amid efforts to extend its banking facilities as it battled to stay afloat.

'The company is still in discussions with its bankers to extend the standstill of its bank facilities beyond 18 January and will issue an update when those discussions have concluded,' Patisserie said.

This comes as the company warned last week its accounting problems relating to fraudulent activity were worse than initially feared. 'The work carried out by the company's forensic accountants since then has revealed that the misstatement of its accounts was extensive, involving very significant manipulation of the balance sheet and profit and loss accounts.' Story provided by StockMarketWire.com