ELECTRICAL RETAILER Comet has revealed that it will go into administration next week, less than a year after being taken over by private equity firm Opcapita.
The retailer, which employs around 6,500 people and has 240 stores across the UK, announced the bad news on Thursday. According to reports, Comet failed to secure the trade credit insurance needed to order supplies.
A statement from Comet said, "Comet Group Limited can confirm that it has today taken steps to seek the protection of the court with a view to the company entering into administration during week commencing 5th November 2012.
"In the meantime the board is urgently working with its advisers to seek a solution to secure a viable future for the company."
It's still unclear whether Comet will close all 240 of its stores, and whether its 6,500 staff will be made jobless.
Comet isn't the first technology retailer to struggle in the UK market. US retail giant Best Buy promptly pulled out of the UK market, and video games retailer Game announced in March that is has gone into administration after admitting there was "no equity value left in the group".
While it's sad to say goodbye to yet another of our much-loved electronics retailers, we could be in line for some great Christmas bargains. µ