Thousands of jobs at risk as convenience store giant McColl's teeters on brink of collapse:6 May 2022 00:18
The operator of hundreds of Morrisons Daily stores could appoint administrators as soon as Friday amid fading hopes of a rescue deal, Sky News learns.
The company's imminent collapse is expected to spark renewed interest in a partial takeover from both Morrison's and EG Group, the petrol retailing giant owned by TDR Capital and the billionaire Issa brothers Mohsin and Zuber.
Retail industry sources said on Thursday that the situation remained fluid but a collapse into some form of insolvency proceedings was now more likely than not.
McColl’s has paused the rollout of its Morrisons Daily format in a bid to conserve cash and stave off administration, Retail Week has learned.
In an internal memo sent to staff in recent days, the embattled convenience store chain said although the Morrisons Daily format was performing well, McColl’s has stopped the conversion of more stores to conserve much-needed capital.