Meccano 2016 administrators fail to find a buyer and announce wind down of business
By Rebecca Howard
March 9 (BusinessDesk) - The administrators of Meccano 2016, which went into voluntary administration in February, said they had been unable to secure a buyer for the business and they will now wind down the menswear business.
"We now move to the next phase of administration, which is to sell down all stock through the current store network," said administrator Neale Jackson from KordaMentha
All stock, including new season styles, is discounted by between 40 percent and 70 percent for sale. Jackson said that seven stores remain open, four in Auckland, two in Hamiton and one in Christchurch.
In a press release in February announcing the voluntary administration, Meccano 2016 director Vere Sharma said "despite an enormous amount of effort from hard-working staff, Meccano was unable to adapt fast enough to what has been a trying time for many mall-based retailers."
Meccano joins a line of retailers struggling to make a traditional bricks-and-mortar model work when online rivals avoid the overhead of a high street site and are accused of skirting customs duties that traditional vendors face.