Wilko has announced it will shut down 14 stores just days after it confirmed it was on the brink of entering administration.
Stores in Bournemouth, Stockton, The Fort Birmingham, Shipley, Scunthorpe, Narborough Road in Leicester, Grantham, Redditch, Rotherham, Skegness, Llanelli, Merthyr Tydfil, Cleethorpes and Woolwich are all set for closure.
The bargain retailer’s decision to file its “notice of intention” to the High Court put 400 shops and 12,000 jobs at risk.
However, there is some hope a buyer could bail out the company as there has been “significant levels of interest”.
Wilko chief executive Mark Jackson said: “We’ll continue to progress discussions with interested parties with the aim of completing a transaction which preserves the business and will encourage those interested parties we’re in discussions with to move as fast as possible.”
The bargain retailer is being advised by professional services company PwC.
Property agents CBRE had been brought on board to negotiate with landlords.
Wilko, which was founded in Leicester in 1930, was exploring the sale of a controlling stake just last month.
It previously announced plans to close more than a dozen stores in January last year.
A total of 400 jobs were put at risk in February when the bargain retailer unveiled its latest restructuring plan.
A notice of intention protects businesses from creditors for 10 days in an attempt for the company to secure its finances.
The notice, handed to the High Court today, does not necessarily mean administrators will be appointed.
Wilko’s CEO confirmed the retailer was struggling to find a buyer which provided the "necessary liquidty".
He also stressed the staple high street store had no other option.
Jackson also said that the business would continue to hold discussions with interested parties and would aim to secure its future “as fast as possible”.
He added: "We continue to believe that our robust turnaround plan, with significant re-stabilisation cost savings in progress, will deliver a profitable Wilko and maximise the significant opportunities that we know exist."
from GB News https://www.gbnews.com/news/wilko-shut-down-stores-administration
Wilko has announced it will shut down 14 stores just days after it confirmed it was on the brink of entering administration.
Stores in Bournemouth, Stockton, The Fort Birmingham, Shipley, Scunthorpe, Narborough Road in Leicester, Grantham, Redditch, Rotherham, Skegness, Llanelli, Merthyr Tydfil, Cleethorpes and Woolwich are all set for closure.
The bargain retailer’s decision to file its “notice of intention” to the High Court put 400 shops and 12,000 jobs at risk.
However, there is some hope a buyer could bail out the company as there has been “significant levels of interest”.
Wilko chief executive Mark Jackson said: “We’ll continue to progress discussions with interested parties with the aim of completing a transaction which preserves the business and will encourage those interested parties we’re in discussions with to move as fast as possible.”
The bargain retailer is being advised by professional services company PwC.
Property agents CBRE had been brought on board to negotiate with landlords.
Wilko, which was founded in Leicester in 1930, was exploring the sale of a controlling stake just last month.
It previously announced plans to close more than a dozen stores in January last year.
A total of 400 jobs were put at risk in February when the bargain retailer unveiled its latest restructuring plan.
A notice of intention protects businesses from creditors for 10 days in an attempt for the company to secure its finances.
The notice, handed to the High Court today, does not necessarily mean administrators will be appointed.
Wilko’s CEO confirmed the retailer was struggling to find a buyer which provided the "necessary liquidty".
He also stressed the staple high street store had no other option.
Jackson also said that the business would continue to hold discussions with interested parties and would aim to secure its future “as fast as possible”.
He added: "We continue to believe that our robust turnaround plan, with significant re-stabilisation cost savings in progress, will deliver a profitable Wilko and maximise the significant opportunities that we know exist."
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