Fears over camping equipment chain Go Outdoors
PUBLISHED: 09:05 22 June 2020 | UPDATED: 09:25 22 June 2020
The owner of a camping and hiking retail chain has been given more time to consider what to with the business.
JD Sports has filed for court protection for its camping and hiking specialist subsidiary Go Outdoors to keep creditors at bay while it looks at its future.
The Go Outdoors chain employs around 2,400 staff in 67 stores across the UK – including in Ipswich, Norwich and Colchester – selling waterproof clothing, tents and other camping equipment.
MORE – Popular attraction set for relaunch after three months in lockdown
Now JD Sports says the 10-day moratorium would ensure creditors cannot take legal action without permission of the court.
The business relies on its physical stores for most of its sales, so suffered hugely during lockdown – but did have some problems which pre-date the coronavirus crisis.
You may also want to watch:
The court protection follows reports over the weekend that JD Sports was on the brink of plunging the struggling subsidiary into administration – but the owner said it had not yet appointed administrators.
“The group can confirm that it has considered a number of strategic options for Go and that Go’s directors have lodged the notice in court,” the owners said in a statement.
“This notice creates an immediate moratorium around the company and its property, which lasts for 10 business days.
“During this moratorium, Go’s creditors cannot take legal action or continue with any existing legal proceedings against the company without the court’s permission.”
It added: “Administrators have not yet been appointed and the group will make no further comment at this time.”
Go Outdoors faced teething troubles with a new way to get goods into its stores.
JD Sports bought the chain for £112m in 2016.
If you value what this story gives you, please consider supporting the Ipswich Star. Click the link in the orange box above for details.