An update from the Administrators...
The Joint Administrators of Modelzone have announced that all remaining stores are set to close. The Administrators received no offers for the business on a going concern basis and the remaining 18 stores will close in the middle of September. Unfortunately this will result in a further 126 job losses.
Richard Hawes, Joint Administrator and partner in Deloitte’s restructuring services practice, comments: “We sought to find a potential buyer for some or all of the stores, but unfortunately no viable offers have come in since our appointment two months ago. Modelzone has been generating losses over the past few years, largely through an increase in online competition and having taken leases on new stores that proved to be unprofitable.
“Once again, we would like to thank the Company’s employees for their support and professionalism during this time.”
Richard Hawes, Nick Edwards and Rob Harding, partners at Deloitte, the business advisory firm, were appointed Joint Administrators to Modelzone Holdings Limited (Modelzone) and certain of its subsidiaries, including Amerang Limited (Amerang) on 26 June.
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