Wilko Calls In Advisers as Pressure Mounts

The High Street Discounter Wilko has called in advisers from consultancy firm Teneo to help find ways to cut costs and restructure amid the cost-of-living crisis.

According to an exclusive from Retail Week rising inflation, shipment delays and store closures during the Queen’s funeral have affected Wilko’s business and Teneo is now assessing options for the retailer.

Wilko has been struggling with inflation and recently delayed supplier payments to protect its squeezed cash flow. It advised suppliers that bills due to be paid between 11 September and 8 October would instead be made in the following month. Apparently, Wilko has also changed its terms so that suppliers will be paid in a minimum of 60 days.

In September it advised their landlords of a planned move to monthly, rather than quarterly rent payments, more here - Wilko Advises Landlords of Move to Monthly Rent Payments (insightdiy.co.uk)

Wilko has closed 15 stores so far this year after failing to agree to new lease terms with landlords and drafted in experts from Interpath Advisory to refinance its £37.5 million revolving credit facility.

Source: Retail Gazette and Retail Week.

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