HMV owner Doug Putman’s Wilko rescue deal is under threat as big suppliers have demanded their debt is repaid before supply lines are opened to the retailer.
Sources told The Sun that the likes of Unilever and Procter & Gamble have also demanded upfront payment from Wilko to guarantee supply.
Concerns were raised over the weekend that certain suppliers who had ceased shipping goods to Wilko’s stores might not be able to resume product shipments for another six weeks.
The news creates further uncertainty for the collapsed discount retailer’s 12,500 staff. Although redundancies commenced at its distribution centre and head office yesterday the majority of employees are still waiting news on their future.
Subscribe to Retail Gazette for free
Sign up here to get the latest news straight into your inbox each morning
Putman’s potential rescue deal would save around 300 stores and approximately 8,000 jobs.
It is thought the supplier issue has delayed a decision on Wilko’s fate with an announcement now unlikely early this week.
Administrators at PwC are still engaged in talks with rival retailers B&M Bargains, Poundland, Home Bargains and The Range who would take on some stores whilst online marketplace OnBuy is looking to buy the Wilko brand.
Click here to sign up to Retail Gazette‘s free daily email newsletter
