Wilko Ltd. - Case Update

Since we wrote about Wilko last week, Joint Administrators Jane Steer, Zelf Hussain and Edward Williams of PwC have announced the closure of 52 stores in the coming days, with more job losses looming on the horizon depending on the outcome of discussions with potential purchasers.

1,016 jobs will be lost at these stores, while another 299 are set to be lost at Wilko’s two warehouses in Worksop, Nottinghamshire, and Newport, Wales, as well as a further 17 redundancies in its support centre.

This news is only partially offset by an announcement that discount chain B&M Bargains has agreed to buy 51 Wilko stores. This announcement would be more of a cause for celebration if the deal had included employees - it is believed to cover store premises only and may still result in mass redundancies.

Joint Administrators are continuing active discussions with potential purchasers with a view to preserving as many jobs as possible. However, discussions negotiations with HMV boss Doug Putman - whose proposal would save the majority of Wilko’s stores - have reportedly stalled due to issues with suppliers.

Further information on the administration can be found HERE.