- Parent companies of UFC Gym Australia are going into voluntary management
- The court had ordered owners to pay $5 million to disgruntled franchisees
UFC Gym Australia and New Zealand, once with more than 10 fitness centers in Sydney, Melbourne, Perth and the Gold Coast, has been ordered into liquidation by the NSW Supreme Court.
The company's collapse leaves a total of 62 creditors owed a total of $15.6 million, according to filings with the regulator.
The move comes six months after administrators took control of the company following a protracted legal battle and the bankruptcy of a director.
A spokesperson for UFC Gym said the setback would only affect the headquarters and would not affect the gym's franchises.
“It was a difficult decision that only affects the head office,” they told news.com.au. 'It has no consequences for business operations.'
UFC Gym Australia is a mixed martial arts gym franchise founded in 2009
The NSW Supreme Court on Thursday afternoon appointed Desmond Teng and John Refalo of insolvency firm Byrons as liquidators of the chain's parent companies, Ultimate Franchising Group Pty Ltd, Ultimate Franchising Group Properties Pty Ltd and UFC Gym Prospect Pty Ltd.
More to follow