The company has applied for a court hearing on 29 April and is seeking voluntary arrangements with its creditors. However, the stores will continue trading as normal.
Powerstore is the latest in a string of casualties in Britain's cut-throat electrical retail market. It operates 52 high street shops and 33 out- of-town superstores. It was born out of the industry shake-out which has seen most of the electricity companies dispose of their retail divisions. Clive Vlotman, a former director of Dixons created the group in 1993 when he acquired some stores from London Electricity. A year ago it bought around 70 Homepower shops from East Midlands and Yorkshire Electricity. Last year it achieved sales of pounds 120m.