Burnley nightclub stays open despite collapse of owners

The Burnley nightspot was not among 11 clubs earmarked for closure by administrators who are dealing with the collapse of Luminar Group Holdings PLC which owns Lava Ignite.

The closures were announced as part of an “ongoing strategic review” of the business with loss making clubs targeted for shutdown.

A spokesman for the administrators said the restructuring leaves a core of profitable clubs that have already started to attract interest from a number of potential buyers. Luminar PLC’s remaining portfolio of nightclubs will continue to trade as a going concern as the administrators seek a buyer for the business.

Around 300 full and part-time jobs will be axed with the closure of the 11 clubs. Mr Alan Hudson, joint administrator, said: “The core estate of clubs that were open this weekend delivered excellent trading results over what was a very busy Hallowe’en trading period for the business. We would like to thank the management, employees and key suppliers who have provided their support in helping us to ensure the business continues to trade, and provide us with the best possible opportunity to secure a sale of the business as a going concern.

“To date we have received a large number of inquiries in the business as a whole and individual sites, and are actively engaged in discussions with these parties.”

Luminar Group Holdings PLC collapsed after saying it was unable to pay its debts to the banks. The firm has 75 venues across the UK and employs around 3,000 staff. Lava Ignite Burnley employs around 30 full and part-time workers.