Powerhouse likely to be broken up

Link: UK electrical goods giant calls in receivers

The UK’s third biggest electrical retailer, which went into receivership last week, has received several expressions of interest, according to receivers at Deloitte & Touche.

It is understood that possible buyers include catalogue chain Argos and electrical goods retailer Dixons.

Although the administrators are looking to sell the company as a going concern, the analysts say the buyers are more likely to try buying it in parts.

Mintel analyst Richard Perks told the BBC: ‘I think it will be split up. I don’t think anyone will want to take it as an ongoing concern.

‘Its stores on the whole are too small for electrical retailing, which is why I wouldn’t expect to see Comet or Currys take too many of them.’

So far, the receivers have closed almost half of its 223 stores and made at least 800 redundancies

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