About 3 weeks ago (October 30), departmental store chain Robinsons announced that it will make its exit from Singapore for good, following losses in the recent years.
It is closing its last two outlets here at The Heeren and Raffles City Shopping Centre.
The retailer made the decision to liquidate its stores due to the stores’ “inability to continue operations due to weak demand at department stores”.
Corporate advisory and restructuring firm KordaMentha’s Cameron Duncan and David Kim were appointed as Robinsons’ provisional liquidators.
KordaMentha will take control of Robinsons’ assets and assess the options to realise value to maximise returns to creditors.
The decision has left both customers and suppliers in the lurch, with customers unsure if their orders will be fulfilled and suppliers worried that they may never get paid their sales proceeds.
Some consignment suppliers have said they are being owed sales proceeds made in the past few months.
Consignment suppliers are only paid after goods are sold to customers.
Owes More Than 440 Creditors Nearly S$32 million
According to The Straits Times, Robinsons owes creditors at least S$31.7 million.
In a notice issued to creditors dated last Friday (November 13), KordaMentha said that an online creditors’ meeting will be called on November 26, at 2pm.
A Committee of Inspection will be appointed during the meeting, and creditors will receive a statement of the company’s affairs.
In the same notice is a list of a total of 442 creditors as at October 29 as per management records.
Among the 442 creditors listed are mattress companies such as Simmons, Sealy, Serta and Tempur.
Also on the list are major apparel, fashion and beauty brands such as adidas, Estee Lauder, Elizabeth Arden, Clarins, Chanel and LVMH.
Local businesses named as creditors include Singapore Post, Singapore Press Holdings and Singtel.
Creditors must submit their proof of debt and proxy form to the liquidators by November 25, 4pm in order to be eligible to vote at the meeting.
Featured Image Credit: The Edge Singapore