The voluntary administrators, Worrells Solvency & Forensic Accountants’ Simon Cathro, Chris Cook, and Ivan Glavas report that the weekend sales campaign delivered very strong results, with the Napoleon Perdis Group three-day sale (30% storewide and online) results surpassing any forecasts.
Today marks the beginning of the restructuring phase of the administration by right sizing the store profile and presence, Australia-wide. Worrells over the weekend undertook an assessment of each store’s performance and positioning in its current market environment and is now complete. The administrators state that these steps are critical to ensure the business is saleable.
Mr Cathro said, “The administrators have undertaken an assessment of each store over the weekend, factoring in past performance, the right sizing of the business as a whole and the location. As result of this review we have identified a number of stores that will be closed. This decision has not been taken lightly and we are aware that this will have an impact on employees and customers”.
“These staff will be paid their wages owing up to the date they are terminated. Some staff have been offered other roles within the Napoleon Perdis Group. We have been extremely pleased with the high level of support the staff have provided both to Napoleon himself and the business. No doubt this has contributed to the strong sales results over the weekend.”
Of the 56 stores nationally, 28 are marked to close effective today, 4 February 2019.
Napoleon Perdis said, “I want to say a big thank you to the staff who have all tirelessly gone above and beyond during this challenging time. Today’s closures are a necessary and anticipated step in the restructuring process. And while it feels like a sad time, this is not goodbye, and it gives us the best opportunity to keep the business trading through the administration process. We’ll be back in a new, more dynamic and innovative way.”
Worrells in conjunction with the Napoleon Perdis team are seeking buyers/investors. Any parties that wish to indicate their interest in investing/purchasing the business are invited to register their interest at https://www.resolve.expert/listings/napoleon-perdis.
Mr Cathro said, “As expected the appointment has already generated significant interest in the sale of the business. It is clear from those discussions that their interest is piqued through the voluntary administration’s ability to right size and restructure the Napoleon Perdis Group.”
The first meeting of creditors is now advertised, due to be held simultaneously on Tuesday, 12 February 2019 across four locations: Sydney, Brisbane, Melbourne, and Perth at 2.30pm AEDT.
Worrells appreciates the impact the appointment has on affected parties. It will continue to proactively communicate at each juncture of the administration and issue releases on the appointment’s status as it develops.
Worrells has 27 offices nationally and 29 partners, across Qld, NSW, ACT, Vic, SA, and WA. Worrells has been providing solvency management, insolvency administration, and forensic investigation services for over 45 years.
Partner, Worrells Sydney