Chocolate chain Max Brenner collapses
Chocolate chain Max Brenner has gone into voluntary administration blaming sluggish sales and rising costs.
Administrators McGrathNicol have been appointed to undertake an “urgent review” of the struggling business which has 37 stores in Australia. A sale of the business or recapitalisation are both on the cards.
The company said in a statement that “Max Brenner Australia remains open for business as usual at this time”.
“Chocoholics are respectfully invited to show their support by enjoying a hot chocolate or dessert as the Administrators assess the best solution to ensure Max Brenner Australia’s unique chocolate experience continues to delight millions of Australians in the future.”
McGrathNicol issued a statement saying it is working closely with Max Brenner’s management team to come up with a solution.
“We are assessing the prospects of completing a going concern sale of the business or a recapitalisation through the Voluntary Administration process,” McGrathNicol said.
The chain launched in Israel and opened its first Australian store in Sydney’s Paddington in 1999 specialising in chocolate fondue, crepes, milkshakes, waffles and hot chocolate.
Owned and run by husband and wife team Tom and Lilly Haikin, the chain expanded its Australian presence to include 15 stores in NSW, 12 in Queensland, five in Melbourne, two in the ACT and Western Australia, and one each in South Australia and the Northern Territory. The business also had plans to open seven new stores in Australia this year.
The chain’s success has seen it spread as far as the US, Japan, Singapore, Russia and China.
Sheridan Randall, 4th October 2018
