2000 jobs safe as PowerHouse sold

Published: September 4, 2003 | 82nd good news item since 2003

More than 2000 jobs at electricals retailer, PowerHouse, have been saved after the company was sold to New Zealand-based Pacific Retail Group (PRG).

PRG has taken over 142 sites, a majority of the company’s operating infrastructure and staff. It also intends to retain the PowerHouse brand.

The announcement comes a fortnight after PowerHouse – the UK’s largest independent electrical retailer – called in the receivers, deciding immediately to close 93 of its 223 stores with the loss of 813 jobs.

At the time receivers Nick Dargan and Neville Kahn of Deloitte & Touche said they wanted to sell the company as a going concern.

In a statement yesterday Dargan said: “We are exceptionally pleased to have sold this business as a going concern, which was our prime objective, and to have preserved over 2,000 jobs. Most commentators believed a break-up of the business was the most likely scenario, which would have generated less value for creditors.”

Publicly-listed PRG runs the largest appliance retail group in New Zealand trading under the brands Noel Leeming, Bond and Bond, Big Byte.

Published in Economics
See also:
Inside Good News Blog