Wilko has officially collapsed into administration, putting 12,000 jobs at risk.
As a result, the homeware retailer has appointed PwC to lead the process after failing to agree on a rescue deal.
The omnichannel retailer, which recently paused its online activity, is expected to close dozens of its 400 stores following weeks of conversations with potentially interested parties.
“We left no stone unturned when it came to preserving this incredible business but must concede that with regret, we’ve no choice but to take the difficult decision to enter into administration,” CEO Mark Jackson said.
Find out more about Wilko and what went wrong with the homeware retailer
“We’ve all fought hard to keep this incredible business intact but must concede that time has run out and now, we must do what’s best to preserve as many jobs as possible, for as long as is possible, by working with our appointed administrators.”
“We’ve all fought hard to keep this incredible business intact but must concede that time has run out and now, we must do what’s best to preserve as many jobs as possible, for as long as is possible, by working with our appointed administrators.”
According to the retailer, it had “a significant level of interest, including indicative offers”, however, revealed it was unable to complete the deal within the timeframe.
Wilko’s struggles became apparent in recent months when it deferred supplier payments and asked landlords to cut rents.
Since then, the parent company of Cath Kidston, Hilco, offered the family-run retailer a £40 million lifeline and even bought in new CEO Jackson to take the lead.
Jackson said: “Since January and with the help of retail advisers and experts, we’ve been facing into problems and have seen real progress against many areas of our plan.
“We’ve made significant savings across our cost base and have been considering various options based on advice given regarding our store costs.”
“We’ve all fought hard to keep this incredible business intact but must concede that time has run out and now, we must do what’s best to preserve as many jobs as possible, for as long as is possible, by working with our appointed administrators.”
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