Menu
26/11/2008
Woolworth Worthless?
Despite the festive shopping season being well underway, troubled retailer Woolworths has today seen dealing in its shares suspended as the firm continues talks to rescue the business.
Woolworths said in a statement that it was in discussions over the potential sale of its 840 stores.
The firm added that it was also in talks to sell its 40% stake in publisher '2 Entertain' to the BBC Worldwide concern, which already owns the other 60%.
However, neither deal can go ahead without the backing of its banks, and "there can be no assurance" they would be completed, Woolworth management commented.
A specialist restructuring firm, Hilco has offered to buy the chain of shops for just £1, but so far cannot reach agreement on how much of Woolworth's £385 million debt it will take on.
But time is running out, as without some form of a deal, analysts say Woolworths faces the real risk of going into administration.
Shares in Woolworths have fallen by more than 90% over the past year as concerns over its future have risen.
In September, the firm reported a record first-half pre-tax loss of £90.8m and scrapped its dividend to shareholders.
However, just a few months ago, in August, it rejected a takeover bid of £50m for its 815 stores from a group headed by the founder of the Iceland frozen food chain, Malcolm Walker.
In addition to the Woolworths stores and its 40% stake in 2 Entertain, the company runs distribution business Entertainment UK.
(BMcC/KMcA)
Woolworths said in a statement that it was in discussions over the potential sale of its 840 stores.
The firm added that it was also in talks to sell its 40% stake in publisher '2 Entertain' to the BBC Worldwide concern, which already owns the other 60%.
However, neither deal can go ahead without the backing of its banks, and "there can be no assurance" they would be completed, Woolworth management commented.
A specialist restructuring firm, Hilco has offered to buy the chain of shops for just £1, but so far cannot reach agreement on how much of Woolworth's £385 million debt it will take on.
But time is running out, as without some form of a deal, analysts say Woolworths faces the real risk of going into administration.
Shares in Woolworths have fallen by more than 90% over the past year as concerns over its future have risen.
In September, the firm reported a record first-half pre-tax loss of £90.8m and scrapped its dividend to shareholders.
However, just a few months ago, in August, it rejected a takeover bid of £50m for its 815 stores from a group headed by the founder of the Iceland frozen food chain, Malcolm Walker.
In addition to the Woolworths stores and its 40% stake in 2 Entertain, the company runs distribution business Entertainment UK.
(BMcC/KMcA)
Related UK National News Stories
Click here for the latest headlines.
16 January 2013
Blockbuster Latest To Go Into Administration
DVD rental firm Blockbuster has become the latest UK high street firm to go into administration. The chain has 528 stores employing 4,190 staff. Deloitte, the accountancy firm which will now take over the day-to-day running of the firm, said Blockbuster had been affected by competition from internet-based film services.
Blockbuster Latest To Go Into Administration
DVD rental firm Blockbuster has become the latest UK high street firm to go into administration. The chain has 528 stores employing 4,190 staff. Deloitte, the accountancy firm which will now take over the day-to-day running of the firm, said Blockbuster had been affected by competition from internet-based film services.
27 September 2005
Catering firm and union reach deal
In-flight catering firm Gate Gourmet and the Transport and General Workers Union have announced a provisional deal that looks likely to bring the long running dispute to an end. While no details have yet been released the deal will be put to staff on Wednesday.
Catering firm and union reach deal
In-flight catering firm Gate Gourmet and the Transport and General Workers Union have announced a provisional deal that looks likely to bring the long running dispute to an end. While no details have yet been released the deal will be put to staff on Wednesday.
06 February 2007
Two hurt in second mail bomb blast
Two men have been injured in a small explosion at an office building in Berkshire. Thames Valley Police confirmed that officers were called to the offices of accountancy firm Vantis in Oaklands Business Centre in Wokingham just after 9am on Tuesday. It is understood that an item of mail exploded.
Two hurt in second mail bomb blast
Two men have been injured in a small explosion at an office building in Berkshire. Thames Valley Police confirmed that officers were called to the offices of accountancy firm Vantis in Oaklands Business Centre in Wokingham just after 9am on Tuesday. It is understood that an item of mail exploded.
28 November 2012
More Comet Closures Confirmed
A further 125 Comet stores will close by the end of the year if a firm offer for the whole business is not made, administrators Deloitte have confirmed. Around 5,000 jobs are in jeopardy. Further stores will begin closing in December with just 70 stores of the original 236 remaining open until final stock is sold.
More Comet Closures Confirmed
A further 125 Comet stores will close by the end of the year if a firm offer for the whole business is not made, administrators Deloitte have confirmed. Around 5,000 jobs are in jeopardy. Further stores will begin closing in December with just 70 stores of the original 236 remaining open until final stock is sold.
15 September 2014
Retail Chain Phones 4U Placed In Administration
All 550 shops in the Phones 4U retail chain have closed, after the company was placed in administration. Owners, BC Partners, a private equity firm, announced that the business had been placed in administration and that all the UK's 550 would remained closed.
Retail Chain Phones 4U Placed In Administration
All 550 shops in the Phones 4U retail chain have closed, after the company was placed in administration. Owners, BC Partners, a private equity firm, announced that the business had been placed in administration and that all the UK's 550 would remained closed.
-
Northern Ireland WeatherToday:A few fog patches at first, soon clearing to leave a dry day with some patchy cloud and good sunny spells. Light and variable winds. Feeling mild in sunny spells. Maximum temperature 14 °C.Tonight:Dry and quite chilly overnight under prolonged clear spells and light winds. This will allow a few fog patches to develop in places. Minimum temperature 2 °C.
