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Today, a company announced it is entering voluntary administration due to cashflow difficulties, prompting the appointment of receivers. This step marks a significant moment for the business as it navigates its financial challenges.
Receivers Quentin Olde, Luke Pittorino, and Liam Healey from Ankura have been tasked with the crucial job of either restructuring or potentially selling the company. Their efforts will be focused on finding the best path forward to stabilize the business.
Barbeques Galore’s CEO, David White, who is set to take on his role fully in 2025, expressed optimism about revitalizing the company. He emphasized that the leadership team is eager to usher in a new phase for the brand. “We have made considerable progress recently, achieving notable improvements in our operations,” White stated. “However, persistent liquidity issues have necessitated this restructuring process.”
Despite the financial hurdles, the business plans to maintain regular operations across its retail and franchise stores. This approach aims to ensure customer service remains uninterrupted as solutions are sought to secure the company’s future.
The business and retail stores, including the franchise stores, will continue to operate as normal.
The franchisees are not impacted by the appointments and restructuring process.
The company said any in-store or online orders that have been paid for in part or fullwould be honoured in the ordinary course unless stock is unavailable to fulfil orders.
The company will still accept gift cards as long as customers spend an extra $2 for every $1 they want to redeem from their voucher.
For example, to redeem a $50 gift card, a customer will need to make a total purchase of $150 and $100 must be paid after applying the gift card credit.
The receivers said Barbeques Galore would continue normal operations for the time being while it weighs up selling or restructuring the business.
“Barbeques Galore is an iconic Australian business and operates a successful national retail network selling premium products,” Olde said.
“We expect strong interest from both retail operators and strategic financial investors seeking to participate in its future.
“The business will continue to trade as normal under the control of the receivers with the guidance of David White and the Barbeques Galore team while we assess options for its future.”
The company will still honour gift cards as long as the customer spends $2 for every $1 redeemed from the voucher.
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