Luminar administrators close 11 loss-making sites

02-Nov-2011 - Last updated on 18-Mar-2024 at 14:30 GMT

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Tru in Brighton is one of the 11 Luminar sites to be closed by administrators

Administrators at Ernst & Young, appointed to take over the running of nightclub operator Luminar last week, have decided to close 11 loss-making sites, leading to the loss of 300 jobs.

The sites, situated across the country, are branded under a number of different names, including Liquid, Fuse and Tru and were considered 'non-core' to the business.

Ernst & Young said the exercise was 'an acceleration of management’s ongoing turnaround plans for the business' and said its focus was on finding a buyer for the remaining 65 sites which had already attracted interest from a 'number of potential buyers'.

Joint administrator Alan Hudson said: "The core estate of clubs that were open this weekend delivered excellent trading results over what was a very busy Halloween trading period for the business.

"We would like to thank the management, employees and key suppliers who have provided their support in helping us to ensure that the business continues to trade, and provide us with the best possible opportunity to secure a sale of the business as a going concern.

“To date we have received a large number of enquires in the business as a whole and individual sites, and are actively engaged in discussions with these parties.”

Luminar Group's directors had 'no option' but to call in administrators on 27 October when the company was unable to meet its repayment requirements to its lenders Lloyds TSB and Barclays.

The company had been granted a waiver of certain covenants in its three year banking facility on 11 May during which time it offered to investigate 'longer term restructuring options', but it failed to find other funding and an extension to the waiver was refused.

The sites which have been closed are: