DW Sports goes into administration

The future of DW Sports in Pickford Street, Macclesfield was cast into doubt with the news that the Wigan-based retailing and fitness group has gone into administration.

The firm is expected to appoint insolvency specialists who will attempt to find a buyer for the business and save around 1,700 jobs.

Sales have been hit by the coronavirus lockdown but the business will continue to operate throughout August.

Members were informed by email: “Your gym at Macclesfield will remain open and trading throughout August and it is our intention to work with the Administrators to ensure this site remains operational in the long term.”

“The DW Sports retail store in Macclesfield will continue to trade during August, and we have today officially moved into ‘Closing Down sale’ with all remaining products reduced to at least 40% off. This is a final opportunity to take advantage of some of our fantastic ranges at truly great prices.”

The chain operates 73 gyms and 75 retail sites across the UK.

Chief executive Martin Long said: “As a consequence of COVID-19, we found ourselves in a position where we were mandated by government to close down both our retail store portfolio and our gym chain in its entirety for a protracted period, leaving us with a high fixed-cost base and zero income.

“Like many other retail businesses, the consequences of this extremely challenging operating market have created inevitable profitability issues for DW Sports.

“The decision to appoint administrators has not been taken lightly but will give us the best chance to protect viable parts of the business, return them to profitability, and secure as many jobs as possible.

“It is a difficult model for any business to manage through without long-term damage, and with the limited support which we have been able to gain.

“Having exhausted all other available options for the business, we firmly believe that this process can be a platform to restructure the business and preserve many of our gyms for our members, and also protect the maximum number of jobs possible for our team members.”