Health food specialist Julian Graves has hit the buffers and Deloitte has been appointed administrator.
Deloitte said that the retailer has been “adversely affected by the tough economic climate, in particular, the ongoing pressure on consumer spending, a competitive high street trading environment, and rising commodity prices”.
Deloitte’s Chris Farrington, Neville Kahn and Lee Manning have been appointed joint administrators.
Farrington said: “Our priority is to assess the financial position of Julian Graves and consider what options are available. In the meantime, all stores will continue to trade as normal and all employees will continue to be paid.”
NBTY Europe acquired Julian Graves from defunct Icelandic investment vehicle Baugur in 2008 in a distressed purchase. It is understood to have been loss-making since it was acquired, losing around £2m for the last few years.
A spokesman for NBTY Europe said: “Our acquisition saved the business from administration in 2008, but despite our considerable efforts since then it continues to suffer from a perfect storm of reduced consumer spending and rocketing commodity prices.
“We regret the potential loss of some part time jobs and will continue to look for opportunities for our colleagues to transfer, where possible, into roles elsewhere in the Group. The remainder of NBTY’s portfolio of retailing assets continues to perform well and are unaffected by this announcement.”
Julian Graves is headquartered in Nuneaton, Warwickshire.