Much-loved Aussie entrepreneur Dick Smith has said he’s “incredibly angry” at the investment firm which bought his former electronics store.
Anchorage Capital has been accused of “floating” the value of Dick Smith electronics stores. They were originally sold for $94 million, and then valued at $520 million just over a year later.
“I wouldn’t look at buying back the (Dick Smith) name but I’m incredibly angry about the utter dishonesty of Anchorage Capital”, the man himself said.
“I’m angry that these greedy bankers have destroyed a business that could have kept going for a long time”, Dick Smith added. “This is a completely unnecessary collapse that has been driven by greed”.
Dick Smith is disappointed that many Aussie employees will now lose their jobs. “The staff could still be there, if (Anchorage Capital) didn’t have this ridiculous, never-ending growth strategy”, he said.
The 71-year-old also said that investors got too greedy, and forgot to actually take care of their customers. “When I owned Dick Smith it was a company selling electronic components”, he said.
“I’m very proud that a business I started with $610 has lasted for 48 years and employed thousands of people”, said the businessman turned philanthropist.
Dick Smith electronics will now be entirely shut down, after the receivers Ferrier Hodgson failed to find a suitable buyer for the once-great electronics chain.