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High street homeware retailer Wilko has collapsed into administration, putting around 12,000 jobs at risk.
In an open letter confirming the news, CEO Mark Jackson said the business had left “no stone unturned” in an attempt to keep the business afloat but has conceded it has “no choice but to take the difficult decision to enter into administration”.
Earlier this week it was revealed it had been in talks with Laura Ashley owners, the Gordon Brothers, as well as investors Alteri, and OpCapita over a potential rescue deal.
However, despite receiving a “significant” level of interest in the group it was unable to complete a takeover deal “within the necessary timeframe”.
PwC, who is handling the administration, will reportedly seek a buyer for at least a part of the business.
Jackson said: “Over the past six months we’ve been open with all our stakeholders including our team members that we’ve been considering options to accelerate a turnaround plan given that we needed to make significant changes to the way we operate to restore confidence and stabilise our business. We left no stone unturned when it came to preserving this incredible business but must concede that with regret, we’ve no choice but to take the difficult decision to enter into administration.
“I’d like to take this opportunity on behalf of the directors and the Wilkinson family to thank all of our customers and our hardworking team members across our stores, logistics and support centre who remained loyal to wilko. It’s been an honour to have worked alongside you all as we fought to realise and to maximise the significant opportunities that existed to re-establish a profitable wilko.”
He added: “Over the past six months wilko has been very open that we’ve been considering options to accelerate a turnaround plan given that we needed to make significant changes to the way we operate to restore confidence and stabilise our business. We left no stone unturned when it came to preserving this incredible business but must concede that with regret, we’ve no choice but to take the difficult decision to enter into administration.
“…I’d like to take this opportunity on behalf of the directors and the Wilkinson family to thank all of our customers, suppliers, partners and our hardworking team members across our stores, logistics and support centre who remained loyal to wilko. We’ve all fought hard to keep this incredible business intact but must concede that time has run out and now, we must do what’s best to preserve as many jobs as possible, for as long as is possible, by working with our appointed administrators. It’s been an honour to have worked alongside you all as we fought to realise and to maximise the significant opportunities that existed to re-establish a profitable Wilko.”
More to follow
