In a statement released today, the company announced it is entering voluntary administration due to cash flow difficulties. As a result, receivers have been appointed to manage the situation.
The receivers, Quentin Olde, Luke Pittorino, and Liam Healey from Ankura, are tasked with exploring options to either restructure or sell the company.
David White, CEO of Barbeques Galore, expressed optimism about revitalizing the business and guiding it through its next phase when he assumes his role in 2025.
“In recent months, we have made considerable progress that has led to significant improvements in operations and overall business health. However, persistent liquidity issues have necessitated a restructuring,” White stated.
Despite these changes, the company’s retail and franchise stores will continue their normal operations.
The franchisees remain unaffected by both the appointments and the restructuring process.
The company said any in-store or online orders that have been paid for in part or fullwould be honoured in the ordinary course unless stock is unavailable to fulfil orders.
The company will still accept gift cards as long as customers spend an extra $2 for every $1 they want to redeem from their voucher.
For example, to redeem a $50 gift card, a customer will need to make a total purchase of $150 and $100 must be paid after applying the gift card credit.
The receivers said Barbeques Galore would continue normal operations for the time being while it weighs up selling or restructuring the business.
“Barbeques Galore is an iconic Australian business and operates a successful national retail network selling premium products,” Olde said.
“We expect strong interest from both retail operators and strategic financial investors seeking to participate in its future.
“The business will continue to trade as normal under the control of the receivers with the guidance of David White and the Barbeques Galore team while we assess options for its future.”
The company will still honour gift cards as long as the customer spends $2 for every $1 redeemed from the voucher.
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