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Electronics group Ellies announced on Wednesday its business rescue practitioner John Evans had concluded there are no reasonable prospects of saving the business and will apply to the court for a liquidation order.
At the end of January, the more than four-decade-old electronics group said it intended to enter business rescue amid the collapse of a crucial acquisition.
The company, founded in 1979, imports and distributes LED lighting, as well as electronic and solar solutions. It said its bankers had declined to fund the about R200 million acquisition of backup power specialist Bundu Power.
READ | Ellies to enter business rescue amid collapse of Bundu Power bid
Ellies, whose business included satellite and aerial equipment, accessories and hardware, had been under severe strain from pressure on consumers, as well as a falloff in DStv installations, in part prompted by the SABC broadcasting the FIFA World Cup in 2022.
The group last traded at 1c per share on the JSE, giving it a market capitalisation of only about R8 million. This is a far cry from its heyday, when it peaked at nearly R10 a share in 2013, and it had listed in 2007.
