Newsagent chain McColl’s has appointed PWC as administrator.
The appointment comes after the retailer’s senior lenders declined to further extend a waiver of the company’s banking covenants, which has now expired.
McColl’s said that while it had “constructive discussions” with Morrisons – its key wholesale supplier – to find a solution to its funding issues and create a stable platform, its lenders had made it clear they “were not satisfied that such discussions would reach an outcome acceptable to them”.
McColl’s said it was “regrettably therefore left with no choice other than to place the company in administration”.
A number of businesses are already understood to be circling the retailer, including Asda owner EG Group.
McColl’s has more than 1,100 stores across the UK and employs around 16,000 people.
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