Blockbuster UK Finds a Buyer, 2000 Jobs Saved - News/ 2,377 Views
Administrators Deloitte has announced that restructuring specialists Gordon Brothers Europe have purchased Blockbuster UK. The purchase has saved 2,000 jobs and will keep 264 stores open. Blockbuster went into administration in January and last month Morrisons acquired 49 Blockbuster stores.
"Having identified a profitable core portfolio of stores we are pleased to have achieved this sale for creditors," said Deloitte's Lee Manning. "Together with the previously announced store sales more than half of the original estate has been secured for ongoing use."
"This transaction provides Blockbuster a future in the UK and we owe a special vote of thanks to all the Company's employees, suppliers and customers for helping us rescue the business," Manning continued.
Gary Warren, the former HMV UK and Ireland commercial director, has been named the managing director. He left HMV in June 2011. HMV is also under administration right now.
"We are delighted to announce the acquisition of Blockbuster. We acknowledge the industry is in transition; we know that we have a challenge ahead but there is still a market to be served," added Gordon Brothers CEO Frank Morton.
"Blockbuster has a strong brand affinity and we believe that with the right mix of new product offering, new technologies, strategic management and marketing, we can bring new life to this high street staple. We look forward to working with employees, suppliers, landlords and other stakeholders to make this happen," added Morton.