Employees at a Stanmore off license have been given a reprieve after nationwide chain Bargain Booze, which was in administration, was bought for £7.25million.
The deal means thousands of jobs will be saved as Conviviality, who has Bargain Booze within their retail division sold the business to food wholesaler Bestway.
The sale comes hours after administration was announced, prompting fears that jobs would be lost and that the high street chain would follow BHS, Toys R Us and Maplin.
Late on April 6, Matthew Callaghan, Ian Green and David Baxendale of PricewatershouseCoopers (Pwc) were appointed as joint administrators for Wine Rack and Conviviality Retail Logistics, while Matthew Callaghan, Ian Green and Peter Dickens of PwC were simultaneously nominated as administrators for Bargain Booze. The sale was reportedly agreed at 11:56pm the same day.
Joint administrator Matthew Callaghan, partner at PwC, said: “This deal safeguards the jobs of more than 2,000 employees, ensures franchisees have the ability to continue to trade and creates some much-needed stability for business customers and the sector in general.
“Alongside the sale of Conviviality’s Direct business earlier this week, the total number of staff whose jobs have been protected stands at more than 4,000.”
Conviviality confirmed its intention to appoint administrators last week after a string of profit warnings and the discovery of a £30 million tax bill, putting over 2,600 jobs at risk.
Bargain Booze has 452 UK outlets in its national chain of primarily franchised off-licences while the drinks-led Select Convenience shop has 197 UK stores.