Maplin en­ters ad­min­is­tra­tion af­ter fail­ing to find buyer

Computer Shopper - - RANTS & RAVES -

LONG-STAND­ING ELEC­TRON­ICS re­tailer Maplin has gone into ad­min­is­tra­tion af­ter the ail­ing busi­ness failed to find a buyer.

Blam­ing the fall in the pound’s value af­ter the Brexit vote, along with the with­drawal of credit in­sur­ance and poor cus­tomer con­fi­dence, Maplin was on the hunt for a buyer to save it.

“This ne­ces­si­tated an in­ten­sive search for new cap­i­tal that in cur­rent mar­ket con­di­tions has proved im­pos­si­ble to raise. These macro fac­tors have been the prin­ci­pal chal­lenge, not the Maplin brand or its mar­ket dif­fer­en­ti­a­tion,” said Gra­ham Har­ris, Maplin’s chief executive.

“We be­lieve pas­sion­ately that Maplin has a place on the high street, and that our trust, cred­i­bil­ity and ex­per­tise meets a cus­tomer need that is not sup­ported else­where.”

In March, Maplin called in PwC to take care of the ad­min­is­tra­tion process, which put more than 200 stores and 2,300 staff at risk. At the time of writ­ing, PwC had al­ready cut 55 staff from Maplin’s work­force.

Maplin has strug­gled to com­pete with online re­tail­ers such as Ama­zon, which of­fer elec­tron­ics and PC parts at lower prices and rapid de­liv­ery, ar­guably trump­ing in-store cus­tomer ser­vice.

While Maplin’s turnover sits at £235.8m, it’s been on a down­ward spi­ral. PwC is keen to find a buyer for the com­pany, but it seems no com­pany or in­vestor has been forth­com­ing since pre­vi­ous buy­out talks col­lapsed.

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