DVD and game rental chain Blockbuster is to enter administration for the second time this year, according to owner Gordon Brothers.
TS Operations Ltd, a subsidiary of TS 1973 Investment Holdings Limited which trades as Blockbuster in the UK and is owned by a subsidiary of global private equity and investment company Gordon Brothers Europe, today announced it is to file a notice of intention to appoint an administrator on behalf of Blockbuster Entertainment Ltd.
Blockbuster collapsed into insolvency in January after facing serious competition from online rental and video streaming competitors, before being acquired by the subsidiary of Gordon Brothers Europe in March.
A statement from Gordon Brothers said that despite the efforts to “turnaround the historically loss-making company by restructuring the business” Blockbuster suffered from “a period of poor trading performance across both rental and retail sales.”
The statement also detailed an attempt to develop “a new digital platform” to compete with other online video streaming services, although the owners were “unable to broker a licensing deal with Blockbuster UK’s parent company in the US.”
For the full story click here
