Page last updated at 13:27 GMT, Tuesday, 3 February 2009

Deals save seven McLeish stores

McLeish Brothers
Deli chain McLeish Brothers went into administration in January

Peckham's is set to take over four of the 10 McLeish shops after the Dundee deli chain went into administration.

The firm is buying the Schoolhill and Union Street branches in Aberdeen, the Whitehall Street store in Dundee and the former fish shop in Broughty Ferry.

Other buyers will take over the store in Castle Street, Dundee, the second Broughty Ferry shop and the convenience store in Balnagask, Aberdeen.

Stores in Inverurie, Glenrothes and Edinburgh failed to attract new owners.

There was also no interest in the central kitchens in Dundee.

McLeish Brothers, which employed 205 full-time staff, went into administration on 12 January with the loss of 175 jobs.

Given the market conditions, this is a great outcome for all concerned with McLeish Brothers
Iain Fraser
Tenon Recovery

The Inverurie branch had remained open while a buyer was sought, but that will now close and its eight full and part-time staff will be made redundant.

The stores in Schoolhill and Whitehall Street had also continued trading, and staff there have been reassured their jobs are secure.

Glasgow-based Peckham's said McLeish employees who were made redundant from the stores it is reopening would be given the option to return.

The firm estimates that up to 55 jobs will be secured or created by their plans.

Peckham's managing director Tony Johnston said it had always been interested in expanding into Aberdeen.

Peckham's said it had been looking to expand for some time

He said the chain also had a lot of fans in Dundee, which was an "up-and-coming" city with a vibrant arts scene.

"We've only taken the small unit in Broughty Ferry. However, Broughty Ferry is such a lovely area we wanted to get a foothold in there," he added.

He expects the deal to be completed and the stores to be rebranded in about seven weeks.

The Balnagask store is being taken over by neighbourhood retailer Martin McColl.

The buyers of the other two shops have not yet been named.

Iain Fraser, from administrators Tenon, said: "We are delighted to have secured the future of seven stores and wish the four preferred bidders every success when they take ownership of the sites.

"Given the market conditions, this is a great outcome for all concerned with McLeish Brothers and I would like to thank the staff and suppliers who have worked closely with us throughout."

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