MORE than 180 jobs in the Barnsley area are at risk with the annoucement that electronics giant Maplin has gone into administration.
The company employs 174 staff at its Manvers headquarters, with a further 11 people employed at its Barnsley store at the Peel Centre.
The announcement was made on Wednesday that the company would be in the hands of administrators Price Waterhouse Cooper.
Difficult trading conditions, a slowdown in consumer spending and the rising cost of imports as a result of the weaker pound were all cited as reasons for the decision.
Stores will continue to trade while PwC looks for a new owner and there are no immediate plans to close any locations or make redundancies, but this will remain under review.
Any outstanding customer orders will be delivered as normal and gift cards will continue to be honoured in store and online, but the status of these are also being assessed.
Staff have been paid their February salaries and will continue to be paid during the administration process.
Speaking on Wednesday, Maplin CEO Graham Harris said: “I can confirm this morning that it has not been possible to secure a solvent sale of the business and as a result we now have no alternative but to enter into an administration process. During this process Maplin will continue to trade and remains open for business.
“The business has worked hard over recent months to mitigate a combination of impacts from sterling devaluation post Brexit, a weak consumer environment and the withdrawal of credit insurance. This necessitated an intensive search for new capital that in current market conditions has proved impossible to raise. These macro factors have been the principal challenge not the Maplin brand or its market differentiation.
“We believe passionately that Maplin has a place on the high street, and that our trust, credibility and expertise meets a customer need that is not supported elsewhere.
“We will now work tirelessly alongside Zelf Hussain, Toby Underwood and Ian Green, from PwC, who have been appointed as the as Joint Administrators of Maplin Electronics Limited, to achieve the best possible outcome for all of our colleagues and stakeholders.”
PwC partner and joint administrator Mr Underwood said: “The challenging conditions in the UK retail sector are well documented. Like many other retailers, Maplin has been hit hard by a slowdown in consumer spending and more expensive imports as the pound has weakened.
“Our initial focus as administrators will be to engage with parties who may be interested in acquiring all or part of the company.”
