Retailer Comet looms closer to administration - FT
LONDON (Reuters) - Troubled British retailer Comet could fall into administration as early as Thursday, putting 6,000 jobs at risk, the Financial Times reported on Wednesday.
Comet's private equity owner, OpCapita, which acquired the retailer for 2 pounds just eight months ago, has lined up Deloitte as administrator, people familiar with the situation said, the newspaper reported.
The electricals retailer suffered a cash crunch as it tried to stock up for the peak Christmas trading season and was trading without credit insurance, which protects suppliers if their customer collapses.
OpCapita recently received unsolicited approaches from UK and overseas retailers to buy the business, people with knowledge of the matter said in the article published on the FT's website.
OpCapita paid a tiny fee to buy Comet in February and received a 50 million pounds dowry from then-owner Darty (DRTY.L), formerly known as Kesa Electricals, to take over the business.
OpCapita could not be reached for immediate comment.
Comet has 240 shops in the UK. OpCapita has reduced staff numbers from 8,500 to 7,000 as it has cut costs and worked to improve efficiency.
(Reporting by Stephen Mangan; Editing by Leslie Adler)
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