McColls ‘increasingly likely’ to fall into administration

McColls 'increasingly likely' to fall into administration

Glasgow-founded convenience store chain McColl’s is on the brink of failure, as it company revealed it was “increasingly likely” it would fall into administration unless talks concerning a rescue deal proved successful.

The statement yesterday arrived after Sky News reported the company could call administrators in today.

McColl’s currently employs 16,000 people and has a partnership with Morrisons, BBC News reports. 

The firm revealed that without any fresh funding in the short-term, it would likely “be placed into administration with the objective of achieving a sale of the group to a third-party purchaser and securing the interests of creditors and employees”.

However, McColl’s stressed that discussions are still ongoing and added that it wanted to create a “stable platform for the business going forward”.

Earlier this week, the firm warned that its shares would be suspended because it was unable to meet the deadline for filing its annual results. McColl’s said that its accounts would not be signed off in time to meet the deadline.

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