The local music industry’s head is still spinning following yesterday’s unexpected and shocking news that music store group Allans & Billy Hyde had entered receivership amidst debts of nearly $40 million.
Yesterday it was reported that Ferrier Hodgson partners James Stewart and Brendan Richards, were appointed as the administrators of the receivership by secured creditor Revere Capital, which is owed $27 million by AMG (owners of Allans & Billy Hyde), and that the pair hoped to sell the business to service the debt.
So dire was the financial position of the company however, that music stores will not honour any pre-purchased gift vouchers and deposits will not be refunded.
Customers who have already dropped money on the company will now join the list of unsecured creditors, with hopes that they’ll be paid back depending on how much parts of the business are sold.
No doubt there were several musicians and parents of aspiring musicians who have potentially been left out of pocket on thousands of dollars worth of deposits and now worthless gift vouchers.
Worried customers have been flocking to Allans Billy Hyde’s Facebook worried what has happened to their money, including one user who had put down a $2000 deposit on drumming equipment.
They say every cloud has a silver line however, and although customers who put down deposits will no doubt be in for many sleepless nights, customers who had bought gift vouchers to the popular music stores have been offered a potential lifeline by a music shop in Victoria.
Pony Music, located in eastern Melbourne, is now offering a 50% voucher redemption to all holders of valid Allans Billy Hyde Music Gift Vouchers. They have no affiliation with the struggling music group and are offering the program as a good will gesture to the local music community.
The Music Store located at Pony Music in Hallam is situated in a large factory touted as “Australia’s Ultimate Music Complex’ which boasts a state of the art Recording Studio, Six Rehearsal Studios and a PA Hire Company as well as offering Repairs, Service and Music Lessons.
There are a few conditions on the deal – the offer is open to holders of valid Allans Billy Hyde Gift vouchers to the value of $500, and the 50% redemption is only good with the purchase of the remaining value (ie: A $100 gift voucher requires a payment of $50 to redeem the $100 value).
Voucher redemption available at Pony Music on current in stock items only and does not include our Free Shipping website offer. Voucher has no cash value and vouchers, credit or cash will not be given for unused vouchers.
For further information please visit Pony Music’s website at www.ponymusic.com.au or call (03)9702 3244. Voucher redemption valid until September 30th 2012.
3/37-41 Hallam South Road
Hallam VIC Australia 3803