Homebase is in the process of “preparing to appoint administrators” with 130 stores likely to be at risk of closure.
Britain’s high streets have been decimated by a wave of store closures in recent years with the DIY retailer being among the many businesses to shut down locations.
It is understood the popular DIY and garden chain will appoint administrators from Teneo to manage the process.
Despite the risk of closures, Sky News reports that The Range is floating purchasing 75 stores as part of a pre-pack administration.
This is part of an insolvency process which allows a business to sell its assets before making the decision to appoint administrators.
However, this move has yet to be confirmed but could save up to 1,500 jobs at Homebase.
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Homebase is reportedly preparing to appoint administrators
PA
Hilco Capital famously purchased the DIY brand Homebase from Wesfarmers in 2018 for only £1.
The investment and advisory firm is reported to have begun a formal sale process after being approached by The Range.
Many other high street staples have indicated an interest in buying Homebase, including B&M.
As it stands, Homebase operates out of 144 sites across the country.
Recently, Sainsbury’s shared it had purchased ten Homebase stores as part of a plan to convert them into supermarkets.
Chris Dawson, The Range’s owner, is finalising a deal that may save 70 Homebase stores which will be folded into his wider retail portfolio.
Speaking to The Telegraph, he stated: “We are delighted to be able to save so many stores and jobs, and look forward to adding the Homebase brand and subsidiaries to the expanding Range group of companies.”
GB News has contacted Homebase for comment.