Theatre At Home a Life Style Store operation, appear to have problems other than the loss of the Optus O Team to install their home theatre kits nationally, with questions now being raised about the operations of the Sydney based Lifestyle store that appears, to have taken on news owners recently.
The Theatre At Home Store in Nunawading is padlocked with ChannelNews told that “It’s because of a shortage of staff.”
We also understand that the Theatre At Home business is being merged back into the Lifestyle stores with the possibility that their current network of stores could be closed down in favour of an online operation similar to what the major European automotive Companies BMW, Audi and Range Rover operate to sell their luxury motor vehicles.
Questions are also being asked about the restructure of the Lifestyle store, with the man who was, the original investor in Theatre At Home, Danny Assabgy now the owner of 35% of the Lifestyle store via an entity called Travolta Holdings.
It also appears from Australian Securities & Securities Commission documents that the current CEO Vinod Christie David, has sold down a large share of his shareholding in the business with an entity LTR Group now holding 63% of the business.
The other 2% is held by a Mosman NSW resident Arthur Szczweba.
According to sources management at the Lifestyle Store that have struggled with debt management for several years having been given an industry bail out when the Australian Tax Office threatened the business three years ago.
Danny Assabgy (seen below) who now owns 35% of the business is an experienced businessman who is believed to have tipped several million dollars into the TAH business.
The CEO of Sydney-based Hudson Homes and Investment Company Equiti, who also owns fast food outlets Assabgy told ChannelNews last year that he wanted “out” of Theatre At Home.
We now understand that he was unable to find a taker for his share of the business despite several options being explored.
What eventuated was a shareholding in The Lifestyle Store, which insiders have welcomed as “it brings a new level of management to the business that was not there before” said one insider with knowledge.
“In the past there were too many emotional and not too well, thought out decisions taken that has hurt the business. Senior management took their eye off the main game and the business suffered. What they now have in place is new management and access to capital via a new VC operator who will minimise the risks” they claimed.
Currently several of their suppliers are working on credit card only with only a few offerings credit, however this could change under new management.
In the past the TAH business had discussions with DC Strategy, an organisation who describe themselves as ‘Strategy franchise consultants. This is the same Company that worked with JB Hi-Fi and the former The Good Guys management when they acquired The Good Guys retail chain.
ChannelNews understands that nothing came of these discussions because the Theatre At Home business was not proven and had a limited track record in Australia.
Last week a new business name was registered with ASIC called Lifestyle Store Australia Pty Ltd. The registered address is the same as The Life Style Store Pty Ltd.
The director and Company Secretary is listed as Rodney John Humphries.
