One of Australia’s most iconic outdoor lifestyle retail brands, Barbeques Galore, has narrowly avoided total collapse after a Victorian-based wholesale firm Acom International sealed an 11th-hour acquisition deal, but the rescue comes with significant caveats that underscore ongoing pressures facing brick-and-mortar retail across the country.
Acom International confirmed the purchase on Monday, revealing it has acquired Barbeques Galore’s full intellectual property holdings, established brand portfolio, and existing wholesale inventory from the business’s receivers. The acquisition covers the company’s entire stable of well-known regional brands, including Ziegler Brown, Ziggy, Turbo, Beefmaster, Firehawk, Arrosto Pizza Ovens, Downunder, Saxon, Maxiheat, and Kent.
Under the new ownership structure, Barbeques Galore will transition to a hybrid operating model focused on a refreshed national online platform and expanded wholesale distribution, rather than retaining company-operated physical storefronts. The terms of the deal require the permanent closure of all company-owned retail locations, though independently franchised Barbeques Galore outlets will be permitted to continue operations under their existing licensing agreements.
Since the retailer first entered voluntary administration in February, putting roughly 500 Australian jobs at risk, the future of those positions remains unresolved following the latest acquisition. No details have been released on how many roles will be retained through the transition to the new operating model.
As part of the deal, long-time Barbeques Galore executive Mike Ainsworth has been appointed as the business’s new chief executive officer. Outlining Acom’s strategic vision for the brand, Ainsworth said the company’s core goal is to make Barbeques Galore and its popular line of barbecue and wood-heating products accessible to more consumers across Australia. “We will do that by supporting our independent Barbeques Galore stores, expanding distribution through wholesale customers and other retailers, growing our export markets, and maintaining a strong national online presence,” he added.
Monday’s successful acquisition marks the second attempt to rescue the struggling retailer after a prior last-ditch rescue plan fell through in June. Barbeques Galore first entered voluntary insolvency protection in February, and by June, U.S.-based investment firm Gordon Brothers had tabled a recapitalization proposal that would have also shuttered all 62 company-owned stores. Though the Gordon Brothers plan won backing from the retailer’s creditors, negotiations failed to secure acceptable commercial trading terms with key stakeholders including suppliers and property landlords. The $5 million creditor payment that was central to the original proposal will now never be disbursed, as the deal collapsed entirely before implementation.
The outcome of the Barbeques Galore rescue highlights the ongoing challenges facing traditional physical retail in Australia, even when iconic local brands are able to avoid full liquidation through acquisition.