McColl's reportedly 'on brink of collapse' with 16,000 jobs across UK at risk

dailyrecord.co.uk:

McColl's Retail Group is reportedly in emergency talks for new funding amid fears it could collapse without it. The convenience store chain which has more than 1,300 stores across the UK, is understood to be working with advisors to find a buyer to help the business stay afloat.

Around 200 of its stores trade under the Morrisons Daily brand - with the supermarket said to be keeping a close eye on its rescue talks, reports Mirror Online.

According to an article on the Sky News website, the retailer has a matter of weeks to secure new funding, with millions of pounds of its bank debt being sold to hedge funds.

EG Group, the petrol stations giant controlled by Asda owners Mohsin and Zuber Issa and the private equity firm TDR Capital, is said to have held discussions about making an offer for McColl's but decided against doing so last week.The company, which is listed on the London Stock Exchange, employs around 6,000 full-time staff and raised £30million from shareholders in a cash call just six months ago.Wm Morrison, which agreed to a £7billion sale to the private equity firm Clayton Dubilier & Rice in 2021, is understood to be monitoring McColl's situation closely with a view to possibly acquiring hundreds of its stores out of insolvency.However, the supermarket is not believed to be in active discussions about a complete takeover of the company.In November, McColl's announced that it would expand the number of Morrisons Daily conversions from 350 to 450 within a year.If McColl's fails to secure new funding and is forced into administration, it would be the largest retail collapse since the Edinburgh Woollen Mill Group and Debenhams in 2020.Retail industry sources said that McColl's shares were now effectively