Booktopia has entered voluntary administration after failing to secure emergency funding.
In an ASX announcement today, the book retailer said it had appointed McGrathNicol partners Keith Crawford, Matthew Caddy and Damien Pasfield to oversee the company’s restructuring.
“The Administrators are undertaking an urgent assessment of Booktopia’s business while options for its sale and/or recapitalisation are explored,” the statement reads.
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“The shares of Booktopia Group Limited (Administrators appointed) will remain suspended from trading during the administration process.
“Shareholder updates will be uploaded to the ASX platform as required.”
Booktopia last month suspended trading on the ASX, pending the outcome of a strategic review that began in February, while it continued to seek additional funding.
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As part of the review, 50 employees were laid off and chief executive David Nenke resigned after exactly one year in the role in a $2.7 million cost-saving measure.
In 2023, Booktopia opened a $12 million customer fulfilment centre, but a cutback on discretionary spending led to poor sales and a 21 per cent revenue drop.
The first meeting of creditors will take place on July 15.
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