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Sports shop JJB closes in Peterborough

JJB Sports in Peterborough city centre which has now closed

JJB Sports in Peterborough city centre which has now closed

The Peterborough branch of JJB Sports has closed today (Monday), costing 12 people their jobs.

Administrators KPMG announced it is closing 133 shops nationwide including the Long Causeway branch.

The move will make 12 workers redundant, with one person being kept on for now to help the administrators.

Twenty JJB stores nationwide were bought by rival Sports Direct, but with there already being a Sports Direct store a few doors down from JJB in Long Causeway, the Peterborough store was not among those transferred.

Richard Fleming, UK head of restructuring at KPMG, said: “Successive attempts to restructure the business, both financially and operationally, have not been enough to prevent the company falling into administration.

“Unfortunately a buyer could only be found for 20 stores on a going concern basis. All staff made redundant as a result of store closures have had their arrears of wages and holiday entitlements paid in full.

“Our team of employment specialists will be supporting staff on completing redundancy forms and putting them in touch with job seeker services.

“We will now be reviewing what options are available for the remainder of the business, such as selling leasehold interests.”

David McCorquodale, corporate finance partner who led the sales process, added: “In spite of the severity of financial distress suffered by the business, we spoke with over 100 parties in the first few days of our appointment; with eight trade and private equity players tabling first round bids.

“Unfortunately the level of cash and further operational restructuring required to rescue a more substantial part of the business was too much risk for most interested parties.

“We hope to be able to sell the leasehold interests of some of the remaining stores, which may result in re-employment of some staff.”

A 24-hour helpline has been set up for employees of JJB on 0845 3022538.

 

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