Ailing sports retailer JJB Sports has collapsed into administration.
KPMG was today appointed administrator to the three companies which make up JJB Sports.
It sold 20 stores as well as the brand and website to Mike Ashley’s group Sports Direct. The stores are Airdrie, Antrim, Brighton, Chorley, Cumbernauld, Dorchester, Dover, Elgin, Glasgow Silverburn, Leamington Spa, Leeds, Lisburn, Liverpool, Llandudno, Londonderry, Oldbury, Rhyl, Rochdale, West Bromwich and Winchester.
However, the remaining 133 outlets will be closed today.
KPMG said it spoke with more than 100 interested parties in the first few days of its appointment. Eight trade and private equity players tabled the first round of bids. However, the level of cash and further operational restructuring required to rescue a more substantial part of the business was too much risk for most interested parties, it added.
Richard Fleming, UK head of restructuring at KPMG, said: “Successive attempts to restructure the business, both financially and operationally, have not been enough to prevent the company falling into administration. Unfortunately a buyer could only be found for 20 stores on a going concern basis. We will now be reviewing what options are available for the remainder of the business, such as selling leasehold interests.”
annabel.dixon@estatesgazette.com
