Tim Bateson and Chris Pole from Interpath Advisory have been appointed joint administrators to Majestic Bingo Limited.
Majestic Bingo is an independent operator of retail bingo, operating eight clubs across England and Wales and employing 143 people at the time of the appointment of the administrators.
Historically profitable, the company was adversely impacted by lockdowns during the COVID-19 pandemic which caused significant reductions in admissions which have since failed to fully recover.
In May 2021, the company’s bingo hall in Spalding, which was a profitable venue, suffered a serious fire as a result of an electrical fault and subsequently never reopened.
More recently, the cost-of-living crisis and the fall in disposable incomes seen across the UK since late 2021 has also adversely impacted the business.
Consequently, the financial performance and position of the group has declined in recent years, leading the company to experience cashflow challenges. As a result, the directors resolved to place the company into administration.
Following their appointment, the joint administrators will continue to trade the business and all eight venues as a going concern while they explore options for a sale of the business and its assets. All members of staff have been retained by the administrators to enable trade to continue.
The joint administrators have confirmed that they will honour customers’ Electronic Bingo Terminal (EBT) funds and any valid gift vouchers for the period whilst trading continues.
Majestic’s online business, Majestic Bingo Online Limited, is a separate entity which is not in administration and continues to operate on a solvent basis as usual.
Tim Bateson, director at Interpath Advisory and joint administrator, said: “Majestic is one of the UK’s most recognisable independent bingo operators, but in recent years has seen trading adversely affected by the impact of lockdowns during the COVID-19 pandemic, as well as the cost-of-living crisis.
“We will continue to trade the business in the immediate term while we seek a buyer for the business, and would encourage any interested parties to make contact with us as soon as possible.”
