Nido is to close after attempts to sell the business failed.
Magsons Hardware, trading as Nido, went into receivership in December and was placed into liquidation on Tuesday, plagued by construction and funding problems.
McGrathNicol receiver Kare Johnstone said the business had continued to trade through the receivership in the hopes of being bought, but despite initial positive interest from some potential buyers, Nido could not be sold as a going concern.
About 60 jobs would be lost as a result of closure, she said.
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Johnstone said the store would likely close within a month, and had started to sell stock in a close-down sale.
The receivers first report showed Nido furniture store in Auckland owes $22.3 million to creditors and staff.
Nido was put into receivership after the liquidation of the construction company building the store, Vijay Holdings, in November.
The receivers’ first report showed Nido owed $22.3 million to creditors and staff.
The report said the 27,000 square metre superstore opened about nine months later than planned on May 29 last year, hampered by continued construction delays.
The store will close within a month, and has started to sell stock in a close-down sale, receiver Kare Johnstone says.
The company had more than $13.5m in assets and $22.3 million in liabilities. Other items on its books included $18.22m in intercompany loans and intercompany debt of $10.5m.
Staff were owed $666,000 of which $565,000 was claimed as a preferred creditor.
