Friday, August 24, 2012
Allans And Billy Hyde Enter Receivership
Fri., August 24, 2012
Australian Music Group Holdings (AMG), which trades as Billy Hyde and Allans, has been placed into receivership by one of its creditors. James Stewart and Brendan Richards from Ferrier Hodgson were appointed as administrators Thursday morning by Revere Capital, a group of private investors owed around $27 million by AMG, and immediately placed the retailer into receivership. Unsecured creditors are owed around $13.5 million, while employee entitlements are estimated at $3 million. However, the company will continue trading while the receivers look at ways to restructure the group and sell some or all of the stores. Receiver James Stewart says there has been significant preliminary interest, and he is hopeful of its sale as a going concern. "The business is a substantial business, it turns over $110 million a year, it has over 25 per cent market share for musical instruments in this country," he told ABC News Online. Mr Stewart says employees will continue to be paid by the receivers, and it is expected that employee entitlements will be covered under the Federal Government's General Employee Entitlements and Redundancy Scheme if the business cannot be sold as a going concern. AMG has nine company-owned stores in New South Wales, eight in Victoria, five in Queensland, two in South Australia and one in Western Australia.