Dick Smith to close all ANZ stores

dicksmithElectronics retailer, Dick Smith, will close all of its 363 Australian and New Zealand stores within eight weeks, putting 2890 staff out of a job.

Receiver, Ferrier Hodgson, announced on Thursday afternoon that all remaining Dick Smith and Move stores (excluding airport locations) will close.

The electrical chain collapsed into administration on January 5, owing creditors about $400 million.

Receivers put the business up for sale but were unable to find a suitable offer.

“While we received a significant number of expressions of interests from local and overseas parties, unfortunately the sale process has not resulted in any acceptable offers for the group as a whole or for Australia or New Zealand as standalone businesses. The offers were significantly below liquidation values or highly conditional or both,” receiver James Stewart said.

Stewart said it was a disappointing outcome for the employees of Dick Smith, who have given loyal service to the business.

“We would particularly like to thank the Dick Smith employees for their support and patience during the receivership process,” he said.

All Australian employee entitlements will rank as priority unsecured claims ahead of the fully secured creditors and are expected to be paid in full.

New Zealand employees who are made redundant are preferential claims, ranking ahead of secured creditors, and are expected to be paid in full up to a maximum NZD$22,160.

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