Feeds

Micro Anvika goes titsup after Olympics fails to save its shops

Calls in the receivers, keeps biz open in bid to sell it as going concern

The essential guide to IT transformation

The directors at Tottenham Court Road outfit Micro Anvika have called in the administrators after more than 28 years in business, The Channel can reveal.

The firm appointed IP and business advisor Re10 on 17 September but continues to trade out of its three premises - two on TCR and one in Newcastle - albeit with fewer staff.

Gary Rupping, manager at Re10, confirmed it is talking to several interested parties about offloading the business "as a going concern".

"The directors didn't want to go down this road [of administration]. It took more than 25 years to build this business, they have significant emotional investment in it, not to mention financial," said Rupping.

The recession, costly overheads and the migration of shoppers from the traditional model to the online world were primarily to blame for Micro Anvika's troubles, said Re10.

"The final nail in the coffin was the Olympics - the directors expected an uptick [in store footfall] but that didn't happen," said Rupping.

He revealed that some of the 50 staff employed by the retailer had already been made redundant, but was unable to confirm numbers.

The writing was on the wall for Micro Anvika last November when credit insurers, nervous about the lacklustre retail sector, removed lines, forcing the retailer to trade with suppliers on a cash-with-order basis.

Micro Anvika's management then called in Re10 last Christmas; the advisor then proposed a company voluntary arrangement (CVA) rather than the last resort - administration.

The CVA was approved in May after Micro Anvika shuttered more than half its stores and made redundant over 60 per cent of the 140-strong workforce in a bid to prove it could regain economic viability.

As part of the CVA, creditors were offered a 32 pence-on-the-pound offer on debts totalling £2.7m to be paid back over five years. The CVA terms ended once Micro Anvika entered administration. ®

Next gen security for virtualised datacentres

More from The Register

next story
BBC: We're going to slip CODING into kids' TV
Pureed-carrot-in-ice cream C++ surprise
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Twitter: La la la, we have not heard of any NUDE JLaw, Upton SELFIES
If there are any on our site it is not our fault as we are not a PUBLISHER
Facebook, Google and Instagram 'worse than drugs' says Miley Cyrus
Italian boffins agree with popette's theory that haters are the real wrecking balls
Sit tight, fanbois. Apple's '$400' wearable release slips into early 2015
Sources: time to put in plenty of clock-watching for' iWatch
Facebook to let stalkers unearth buried posts with mobe search
Prepare to HAUNT your pal's back catalogue
Ex-IBM CEO John Akers dies at 79
An era disrupted by the advent of the PC
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?