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British retailer Comet pulls the trigger on administration

by Jonathan Braude  |  Published November 2, 2012 at 2:15 PM
British electrical retailer Comet Group Ltd. called in the bankruptcy administrators on Friday, Nov 2, despite earlier indications the move would not happen until the following week, after consumers began to fear for their cash. Neville Kahn, Nick Edwards and Chris Farrington of Deloitte LLP took over the running of the company, which private equity turnaround specialist OpCapita LLP bought for just £2 ($3.20) earlier this year, as staff at the group's 236 stores prepared for a pre-Christmas fire sale of the remaining stock. The administrators said the stores would continue trading, employees would be paid, while customers have been told pre-paid orders would be fulfilled. "Our immediate priorities are to stabilize the business, fully assess its financial position, and begin an urgent process to seek a suitable buyer which would also preserve jobs," Kahn said in a statement. Reports said Deloitte has already received approaches from Comet's main U.K. rivals, DSG Retail Ltd., which does business as Dixons and Currys, and Maplin Electronics Ltd.
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