Playtime's over: Hamleys franchise operator Ensolor is in business rescue
Financially troubled Ensolor has closed down the Mall of Africa Hamleys and is in business rescue.
On 22 January toy retailer Hamleys’ South African franchise operator Ensolor was put into business rescue.
Moneyweb reported that, according to several retail property industry sources, the financial troubles Ensolor faces are linked to fraud.
Two Ensolor stores, one in the Mall of Africa and the other in Sandton Square, have already closed up shop and more stores might follow.
The closure of Ensolor stores will worsen the state of some of SA’s larger shopping centres, already under strain from weak economic conditions, including Edcon’s downsizing and possible closure.
The Business Rescue Partner will be managing Hamleys’ South African operation.
Stefan Steyn of Business Rescue Partner told Moneyweb that the function of the business rescue practitioner is to implement measures to try save the business and pay creditors. Adding that this process is already underway.
“Currently, the creditors are in a process with the business rescue practitioners, where we are resolving claims and following the business rescue steps. The shops are operating and are currently trading as usual, except the Nelson Mandela Square shop (which the company was going to close anyway) and the Mall of Africa shop, where we have agreed with the landlord to vacate and make way for another tenant.”