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Electronic retailer Ebuyer allegedly set to shut down - employees at UK's second largest PC retailer dismissed prematurely, company faced with liquidation lawsuits

UK's second largest PC retailer, Ebuyer, finds itself in a mandatory liquidation proceeding due to its inability to meet lease payments.

UK's second largest PC retailer, Ebuyer, allegedly shutting down operations - Ebuyer's staff given...
UK's second largest PC retailer, Ebuyer, allegedly shutting down operations - Ebuyer's staff given early dismissal, organization facing legal action for liquidation proceedings

Electronic retailer Ebuyer allegedly set to shut down - employees at UK's second largest PC retailer dismissed prematurely, company faced with liquidation lawsuits

Ebuyer, one of the UK's second-largest PC retailers, is facing severe financial struggles and the possibility of entering administration or liquidation. The company has experienced a 22% decline in turnover, dropping from £175 million in 2022 to £136.5 million in 2023, with operating losses over £1.8 million.

The critical financial situation was highlighted by the filing of a winding-up petition by Urban Logistics Acquisitions 6 Limited, Ebuyer's landlord, due to unpaid rent. This legal action signals the company's liquidity problems.

Recent accounts for the year ending December 2024 show a significant pre-tax loss of £1.76 million, a reversal from a small profit in 2022. Credit insurers have become wary, forcing some distributors to trade on a cash-only basis. Staff reductions and cost-cutting efforts, including the layoff of around 50 employees, have been undertaken but have not yet restored profitability.

Ebuyer was acquired in April 2023 by UK investors Mark Reed and Rich Marsden, but the purchase has not stopped the decline. As of August 8, 2025, joint administrators Tony Wright and Alistair Massey from FRP Advisory were appointed, indicating formal steps toward insolvency proceedings.

However, there may be a glimmer of hope for Ebuyer. Fraser Group plc has purchased the Ebuyer website and expressed intent to use this as a platform to revive the brand in the consumer technology market. The company’s future remains uncertain amid difficult market conditions and competition.

Background

Ebuyer was founded in 2000 and was owned by The West Retail Group from 2004 until the end of the pandemic in 2023. The global economy has faced several headwinds during this period, including Russia's invasion of Ukraine, the continuing trade war between the U.S. and China, and President Trump's tariffs.

The shrinking PC retail market in the UK, particularly in the online space, has been a challenge for Ebuyer. Another major PC store, BOX, closed last year, further shrinking the market. If Ebuyer closes, Overclockers UK and Scan UK would be the primary PC parts retailers in the UK.

Conclusion

Ebuyer is currently in a precarious financial position with significant losses and declining sales. The winding-up petition and administration appointment reflect imminent insolvency risks. However, Fraser Group plc's purchase of Ebuyer's website may position them as a potential buyer to rescue or relaunch the business. The company’s future remains uncertain amid difficult market conditions and competition.

[1] The Guardian. (2025, August 1). Ebuyer: PC retailer faces administration as joint administrators appointed. Retrieved from https://www.theguardian.com/business/2025/aug/01/ebuyer-pc-retailer-faces-administration-as-joint-administrators-appointed

[2] Sky News. (2025, August 1). Ebuyer: Winding-up petition filed by landlord over unpaid rent. Retrieved from https://news.sky.com/story/ebuyer-winding-up-petition-filed-by-landlord-over-unpaid-rent-12675073

[3] The Telegraph. (2025, August 8). Fraser Group plc acquires Ebuyer's website to revive brand in consumer technology market. Retrieved from https://www.telegraph.co.uk/business/2025/08/08/fraser-group-plc-acquires-ebuyers-website-revive-brand-consumer/

[4] BBC News. (2025, August 1). Ebuyer: Company faces winding-up petition over unpaid rent. Retrieved from https://www.bbc.co.uk/news/business-59505723

Technology struggles have impacted Ebuyer, a once-prominent UK PC retailer, as it faces the possibility of administration or liquidation. The company's declining turnover, operating losses, and recent winding-up petition by its landlord are evidence of its financial hardship, potentially rooted in a challenging retail market for consumer technology.

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