Karaoke venue chain Lucky Voice has entered administration, resulting in the immediate closure of three of its six UK sites and the loss of 53 jobs. The company, which has operated since 2005, has been described as "one of the most recognisable names in the UK's nightlife scene for two decades."
Three London sites saved in pre-pack deal
Administrators confirmed that the brand's Soho, Holborn and Liverpool Street locations in London will be transferred to Swedish karaoke bar operator Moyagi Group following a pre-pack agreement. However, the Lucky Voice venues in Brighton, Waterloo and Islington were excluded from the arrangement and have closed with immediate effect.
The chain, which offered private karaoke rooms alongside late-night cocktail bars, had also previously run pods within Tiger Tiger venues in cities such as Manchester and Cardiff. Its private rooms accommodated between two and 30 people.
Refunds not offered for closed venues
Lucky Voice has confirmed it will not be issuing refunds to customers holding bookings at the three shuttered venues. It stated that all reservations will be honoured at the three sites that remain open.
Legal firm DWF confirmed that 59 members of staff will transfer across to the new owner, Moyagi Group.
Administrators cite trading deterioration
Administrators revealed there had been a "deterioration" in trading over the past 12 months and that "the wider night-time economy continues to face significant headwinds." Steve Absolom, managing director at Interpath and joint administrator, said: "Lucky Voice has been one of the most recognisable names in the UK's nightlife scene for two decades, and we are pleased to have secured a future for the brand and for three of its most popular venues.
"The wider night-time economy continues to face significant headwinds. Rising employment costs, elevated energy bills and a consumer who has become increasingly selective about discretionary spending have put real pressure on operators. Many across the sector have felt those pressures acutely, and Lucky Voice was sadly not immune. Our priority now is to support the employees at the sites in Brighton, Waterloo and Islington with their redundancy claims and ensure a smooth transition of the continuing sites to Moyagi."
