The Sunshine Coast franchise of long-running retailer Barbeques Galore will continue to trade as normal, despite the national chain falling into voluntary administration.
The operators of Barbeques Galore Kawana Waters posted to social media on Thursday to say it was “business as usual” for the local store.
“We would like to reassure everyone that Barbeques Galore Kawana Waters is not impacted by the recent announcement of the company entering voluntary administration,” it said.
“As a locally owned and operated franchise store, we continue to trade as normal, with no changes to our day-to-day operation, team or the service you know and trust.
“We remain fully stocked and committed to delivering the same expert advice, quality products and great in-store experience we are known for across the Sunshine Coast.
“Thank you for your continued support and look forward to seeing you in-store.”
Barbeques Galore has been operating since 1977 but slipped into voluntary administration last week due to “liquidity issues”.
The retailer operates 68 company-owned stores and 27 franchise stores throughout Australia, employing about 500 staff across its operations and store network.
The directors of Barbeques Galore have appointed Grant Thornton as voluntary administrators, with Ankura subsequently appointed as receivers.
“The receivers have taken control of the business and its operations, and will work to restructure or potentially sell the business,” a press release from Barbeques Galore said.
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David White was appointed CEO of the company in December after it was reportedly sold to US private equity firm Gordon Brothers.
“Management was excited to turn around the business and move to the next evolution of the brand,” Mr White said.
“Considerable progress has been made in recent months, leading to significant improvements across the business and operations; however, ongoing liquidity challenges have necessitated the restructuring of the business.”
Quentin Olde from Ankura said Barbeques Galore would continue normal operations under receivership while future options were evaluated, including a process to explore a potential sale.
“Barbeques Galore is an iconic Australian business operating a successful national retail network selling premium products. We expect strong interest from both retail operators and strategic financial investors,” he said.
Mr Olde said a condition on gift vouchers, where shoppers must spend $2 for every $1 they wish to redeem, would apply at the Kawana store.
“The business continues to operate as business as usual and we empahsise this despite press reports suggesting otherwise,” he said.
“We do not anticipate store closures at this stage.”
A first meeting of creditors will be held on February 24.
