March 20, 2019 10.19 am This story is over 68 months old

Office Outlet falls into administration

Stores will keep trading whilst a buyer is sought
Office Outlet is now being marketed for sale. Photo: Joseph Verney for The Lincolnite

Around 1,200 UK jobs could potentially be at risk after Office Outlet was put up for sale.

Restructuring partners at Deloitte were appointed on Monday, March 18 as joint administrators to SUK Retail Limited (trading as Office Outlet).

However, the stores will keep trading whilst a buyer is sought.

The company has over 90 stores nationwide and around 1,200 employees. It sells office supplies, business technology and copy and print services to businesses, homes and schools.

In August 2018 Office Outlet closed its store at the Tritton Road Retail Park in order to relocate.

A new Lincoln Office Outlet store opened in the former Tile Giant unit next to Farmfoods at the Valentine Retail Park in November 2018.

CEO at Office Outlet Chris Yates said: “Over the last two years the business has been transformed from the heavily loss-making old Staples business to a near breakeven modern multichannel retailer.

“However, additional growth capital was required to continue delivery of the next stage of the management buyout business plan. Despite being highly impressed by the Office Outlet story potential investors have held back due to retail sector sentiment and the general level of uncertainty”.

Joint administrator Richard Hawes added: “In addition to a general downturn in trading as a result of the ongoing decline in the stationery market and UK retail in general, the company has recently experienced a reduction in credit from key suppliers, given the economic outlook which has severely impacted the financial position of the Company.

“We are hopeful a buyer can still be found for the business in the coming weeks and we will continue to trade the business with that aim in mind.”

SUBSCRIBE to Business Week, the new email newsletter from The Lincolnite and Lincolnshire Reporter, bringing you weekly features, analysis and a news roundup of the top stories by Stonebow Media. Sign up free to receive it every Thursday morning in your inbox. We won’t spam you or share your details with third parties, we promise!