Wynnstay Group PLC said today (Thursday) it will give a notice of intention to appoint administrators for its Just for Pets Ltd subsidiary, following the pet product retailer becoming loss-making.

In June, Wynnstay Group, which supplies services and products to the agricultural industry, said in its results for the six months ended April 30 that it had commenced a review of options for Just For Pets and had booked a GBP3.9 million goodwill impairment charge related to the business.

The group said this followed a marked deterioration in Just for Pets' trading environment, with changing consumer behaviour, new sources of competition and greater cost pressure leading the 25-store chain to become loss making.

Wynnstay said it expects to recognise exceptional charges related to the write off of net assets and associated costs.

"This has been an extremely difficult decision to make, and we are saddened by the announcement of the notice of the intention to appoint administrators for the Just for Pets business. Having thoroughly investigated and pursued other options, it has been concluded that this was the correct path to take, both for Just for Pets and Wynnstay, given the difficult circumstances in which JfP has found itself in recent years. We will be working closely with advisers to ensure that Just for Pets employees, customers, suppliers and Wynnstay shareholders are best served," said Wynnstay Chief Executive Ken Greetham.

Shares in Wynnstay Group were up 0.5% at 510.00 on Thursday.