Buyers circle retailer Godfreys

Administrators for vacuum cleaner retailer Godfreys say multiple leading retail brands and investment groups are bidding to buy the troubled business.

It comes after PwC partners were appointed voluntary administrators of Godfreys' Australian and New Zealand entities late last month. The business claimed to have been facing higher operating costs, increased competition and lower customer demand amid cost-of-living pressures.

Across Australia and NZ, 113 stores continue to trade, while 54 stores have been shut, including the Baldivis, Busselton and Whitford City outlets.

Administrators said the process of identifying a potential purchaser of the business was advancing strongly ahead of the February 27 deadline.

In a statement, the administrators, working with PwC Australia’s corporate advisory team, said they were pleased with the number of interested parties, including multiple leading retail brands and investment groups.

PwC Australia partner and administrator Craig Crosbie said the strong interest in the restructured business from potential buyers was testament to the Godfreys brand.

“As the cut-off for indicative bids looms, we are encouraged by the appetite among blue chip retailers and investors to take the business forward,” he said.

“The quality and volume of interested parties have exceeded expectations, and we will move confidently towards evaluating the most viable offers.”

Established in 1931, Godfreys was one of the world's largest retailers of vacuum cleaners, formerly operating 141 stores, with a further 28 run by franchisees.

It was listed on the ASX in late 2014 but it was taken private four years later due to competition from fellow retailers.