The administrators of failed jeweller Ortak have admitted defeat in their efforts to find a buyer for the business – with the loss of 115 jobs.
James Stephen, BDO business restructuring partner, said a sale of the Orkney jeweller was now “unlikely” despite spending months in discussion with potential buyers.
BDO, which ran the business through the Christmas period after being appointed in March, said it was now in discussions to sell the leases on the remaining Ortak store network and “other associated assets”.
He also said “high levels” of the semi-precious jeweller’s stock would be heavily discounted and placed on sale via stores and the website from January 11 for the next few weeks.
The Press and Journal reported that a £1.8million bid for the group from an undisclosed buyer fell through at the last minute in October.
The administrators had insisted there were still three potential buyers mulling a bid for the chain, adding that the business was “sound” after a restructuring which saw BDO shut under-performing stores in Edinburgh, Glasgow and Stirling.
In October BDO confirmed the business had 12 outlets employing 115 people, including 30 at its head office at Hatston.
But last night the administrators were unable to confirm how many jobs would be lost or how many stores remained.
Mr Stephen said: “Regretfully, despite an extensive marketing process and discussions with a number of interested parties over the past several months, a sale of the whole Ortak business appears unlikely.
“However, there is some interest in the assets of the business, principally Ortak’s store network including leasehold interests and other associated assets.”
Liam McArthur, MSP for Orkney mourned the loss of the islands’ “iconic” brand.
He said: “This is deeply disappointing news and a real hammer blow for staff. My thoughts are very much with them at this time, particularly those based in Orkney.
“Given the early expressions of interest and initial optimism that a buyer could be found to enable Ortak to continue as a functioning business, the sense of shock at today’s news is all the more acute.
“This was an important business for our islands but also an iconic brand, and the loss at its demise will be felt well beyond Orkney and indeed Scotland.”