Woolworths (UK) goes into administration
UK-based variety retailer Woolworths has put its retail and distribution businesses into administration after discussions relating to the potential sale of its 815 stores ended on Wednesday. In a regulatory filing the company said following the collapse of talks with restructuring specialist Hilco UK, the boards of Woolworths and its Entertainment UK (EUK) distribution arm concluded there was no longer any prospect of those businesses being able to operate as a going concern. Woolworths Group is not in administration and remains in discussions with BBC Worldwide relating to the possible sale of its 40% interest in DVD publisher 2 Entertain, the group said. The boards of both companies on Wednesday night filed petitions for administration in the High Court, Woolworths said. Deloitte was last night appointed as administrator and says there are "expressions of interest" for the retail and wholesale businesses. Deloitte added that the company would stay open past Christmas and Woolworths' store employees will be paid.
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