1 week Ago By [email protected] (Rachel Williams)
Our community members are treated to special offers, promotions and adverts from us and our partners. You can check out at any time. More info Eight Homebase stores across Scotland are at risk of closure following the news of the warehouse chain's plunge into administration yesterday (November 13.
) The home improvement retailer was first founded in 1979 by Sainsbury's and GB-Inno-BM. It now operates 145 stores across the UK and Ireland, offering everything from homeware to DIY items . However, the firm's owners, Hilco, has officially appointed Teneo as its administrator, as it looks to sell the struggling the brand.
It means that 49 stores and 2,000 jobs are at risk, reports BBC News . Despite the collapse, it has been reported that CDS Superstores, owners of The Range and Wilko , has acquired 70 stores, the Homebase brand and its intellectual property, with 1,600 jobs being safeguarded by the move. The move will see the Homebase brand continue online, with physical shops converted into The Range stores.
However, it has not been confirmed which stores have been bought over, leaving all eight Scottish branches at risk. Homebase Chief Executive Damian McGloughlin, has said that the past three years had been "incredibly challenging" for DIY stores. He cited a decline in consumer confidence and spending during the pandemic, alongside supply issues, inflation rates and unseasonable weather as reasons for the collapse.
News of the firm's plunge into administration comes after it announced its Inverurie branch would be converted into Sainsbury's next year. The Aberdeenshire-based branch was selected as one of 11 key locations in the firm's next level plan to bring the supermarket's value and quality to new customers. Homebase has had its struggles over the years, with the DIY firm being bought for just £1 by Hilco in 2018.
Before then, it was owned by Wesfarmers who reportedly fired the senior management team, while also underestimating the demand for winter must-have items. Join the Daily Record's WhatsApp community here and get the latest news sent straight to your messages. Despite Hilco bringing in a range of cost-cutting measures, the firm has said it has struggled as consumers continue to cut back on spending during the cost of living crisis, with the firm reporting an £84.
2 million loss in 2023. The Daily Record has contacted Homebase for comment. Get the latest money news sent straight to your inbox.
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