The future of the Island’s 12 Central Convenience stores hangs in the balance tonight (Thursday) as owners Conviviality announce plans to file for administration within the next 2 weeks.
Lottery services have been suspended in store and staff are fearing for their jobs as a result of Conviviality’s failure to raise £125million to save the national company.
In December 2016, a total of 12 Spar shops across the Isle of Wight were sold to Central Convenience by Hunnyhill Group Ltd. It was just 12 months later, in December last year, that Conviviality purchased Central Convenience under the Bargain Booze brand.
Things have gone south for Conviviality in recent months with a number of profit warnings issued and a massive £30million tax bill hanging over them. Some £125million has been sought from investors but those funds have been unobtainable, meaning the company and it’s 2,500 staff face an uncertain couple of days ahead.
In a statement issued this morning, Conviviality has said:
“Unless circumstances change, and in accordance with statutory requirements, the board intend to appoint administrators within 10 business days. The secured creditors can, however, appoint administrators without the requirement for notice.
“The directors intend to allow the business to continue to trade and the company continues to work alongside advisers in order to preserve as much value as possible for all stakeholders as it explores a number of inbound enquiries regarding a potential sale of all or parts of the business.”
Conviviality also supply JD Wetherspoon with a large amount of their alcohol, but the popular pub chain say they have contingency plans in place.
