Pumpkin Patch to close

Publish Date
Tuesday, 22 November 2016, 1:58PM

Retailer Pumpkin Patch will close after no buyer was found for the company.

All remaining Pumpkin Patch stores will stay open until at least the end of the year.

However, Pumpkin Patch's head office is being immediately restructured and 63 people are losing their jobs this week. Gift vouchers will be honoured only while stock remains available.

Receiver Brendon Gibson said that without a serious expression of interest from a buyer, there was no choice but to sell all stock and wind down the business.

"Our focus since Pumpkin Patch entered receivership in October was to sell the business as a going concern. Unfortunately, while the brand is attractive the business itself ultimately grew no interest at the conclusion of the sale process," Gibson said.

"This decision has not been made lightly and we acknowledge it will come as a blow to staff," he said.

"Regrettably, we have had to advise a number of staff at head office that their jobs will be going. They have been given access to [support services] and will receive their holiday pay and outstanding wages. We have had approaches from a number of agencies to assist the redundant staff to find alternative employment and ensure they are aware of all support that is available," he said.

"It is too early to say when individual stores will close. Our current intention is for all stores to remain trading until the end of the year with some continuing on into January as stock diminishes. The liquidation process will likely take until the end of February to complete," he said.

Gibson said he had received interest for the Pumpkin Patch brand and would now run a process to get the most value from that asset.​

The company was tipped into receivership by its lenders last month and appointed voluntary administrators after failing to reinvent itself in the face of shrinking sales and too much debt.

 

- NZ Herald