Go Outdoors' own brand bikes appear to be safe for the time being
The basic message for the foreseeeable future is ‘don’t worry’. Go Outdoors will continue on effectively as ever from a customer’s point of view with regard warranty and spares etc.
As most folk know, Calibre bikes are actually Go Outdoors’ own-brand bikes. Last week Go Outdoors was put into administration (temporarily as it turns out) by its parent company JD Sports. A few days later, JD Sports bought Go Outdoors back for £56 million via a brand new subsidiary called JD Newco 1. Big business eh? It’s a confusing old merry go round sometimes.
Anyway, JD Sports have commented that although it is safe for now, Go Outdoors will require significant restructuring. JD sports have extended the license on all 67 Go Outdoors stores for another 12 months. Regarding job losses, the company has stated it wants to save “as many jobs as possible”. Go Outdoors employs around 2,400 people.
But what does this all mean if you’ve bought – or are about to buy – a Calibre bike? Top rated bikes such as the Calibre Bossnut and the Calibre Two Cubed are hugely popular bikes with very few genuine rivals in high street marketplace.
One of the administrators Michael Magnay: “Like many high street retailers, Go Outdoors Ltd has been seeking to address a number of underlying business challenges in the current UK retail environment, which have been exacerbated by the impact of Covid-19. This successful sale will provide Go Outdoors with an opportunity to restructure its business to secure its future for the long term. I’m particularly pleased that we have been able to secure the employment of all the Company’s workforce, and we’d like to thank all employees and key stakeholders for their support throughout this process.”
JD Sports’ Executive Chairman Peter Cowgill: “As a consequence of Covid-19, Go Outdoors was no longer viable as previously structured and would have absorbed capital at an unsustainable rate for the foreseeable future. Having investigated all available options for the business, we firmly believe that this restructuring will provide Go Outdoors with a platform from which it can progress whilst remaining a member of the group. Most importantly, we are pleased that it will protect the maximum number of jobs possible. We look forward to having positive conversations with landlords and agreeing new flexible lease contracts which reflect the widely reported challenges of reduced consumer footfall.”
So it appears Calibre owners – and potential Calibre bike purchasers – can breathe easy. Needless ot say, we’ll keep you updated if anyting changes for the Calibre brand.