Dick Smith stores to be closed down

Dick Smith stores to be closed down

Farm Online News
GONE: Dick Smith stores nationwide will shut their doors for good over the next eight weeks. 050116BSA02

GONE: Dick Smith stores nationwide will shut their doors for good over the next eight weeks. 050116BSA02

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ALL Dick Smith stores across Australia will be closed over the next two months, impacting 2460 staff, including three positions at the Tamworth store, after receivers failed to find a buyer for the electronics chain.

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ALL Dick Smith stores across Australia will be closed over the next two months, impacting 2460 staff, including three positions at the Tamworth store, after receivers failed to find a buyer for the electronics chain.

It was announced yesterday by receivers and managers to Dick Smith Holdings James Stewart, Jim Sarantinos and Ryan Eagle, of Ferrier Hodgson, the remaining 363 outlets in Australia and New Zealand would close. 

The news comes after it was announced on January 5 Dick Smith Holdings had been placed into receivership.

“While we received a significant number of expressions of interest from local and overseas parties, unfortunately the sale process has not resulted in any acceptable offers for the group as a whole or for Australia or New Zealand as standalone businesses,” Mr Stewart said.

“The offers were either significantly below liquidation values, or highly conditional, or both.”

The announcement will lead to the closure of 301 stores across Australia, and 62 stores in New Zealand.

Mr Stewart said it was a disappointing outcome for the employees of Dick Smith.

“We would particularly like to thank the Dick Smith employees for their support and patience during the receivership process,” Mr Stewart said.

Entrepreneur Dick Smith founded the company in 1968 and sold the company to Woolworths in 1982.

Private equity firm Anchorage Capital Partners purchased Dick Smith from Woolworths in 2011 in a deal worth $115 million, with a market capitalisation of $520 million less than two years later.

The story Dick Smith stores to be closed down first appeared on The Northern Daily Leader.

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