Family-owned chocolate and confectionery group Darrell Lea has now been placed in voluntary administration after nearly 85 years, with more than 700 jobs on the line.
It is the second major retail collapse this year. Videogame chain Game collapsed back in April, and eventually ceased trading this past weekend with more than 500 jobs lost.
PPB Advisory confirmed it has appointed Mark Robinson, Jack Bournelis and Daniel Walley as administrators. This comes after the directors of the company had become worried the business could not meet its financial obligations.
“We are undertaking an urgent review of the business with a view to preparing Darrell Lea for sale as a going concern,” Robinson said in a statement.
The business, which makes and sells chocolate and other confectionery, was founded in 1927 and employees about 700 staff through its manufacturing and retail divisions. It also sells other products in confectionary stores worldwide.
“The owners of the business have agreed to provide some short term financial support whilst we undertake this process. We will work with all stakeholders including employees and their representatives, licensees, customers and suppliers to ensure the business continues to operate effectively.”
PPB said it will update any stakeholders if any developments occur.
This article first appeared at SmartCompany.