25 Rileys snooker and pool clubs are on cue to be closed with the loss of 146 jobs after falling into administration.

On appointment, and in a pre-pack deal, administrator KPMG sold 78 sites to a private investor, securing 625 jobs.

Allan Graham, KPMG's joint administrator and restructuring partner, said: 'The combination of difficult trading conditions and a significant number of loss-making sites meant that the company was unable to continue trading on a solvent basis. However, the business has a large and loyal membership base, which made it an attractive acquisition opportunity.

'We are pleased that we have been able to rescue the large majority of the business with today's sale to a private investor. Unfortunately a buyer could not be found for the remaining sites, which has resulted in a number of redundancies on our appointment.'

KPMG's appointment marks the second time that the Milton Keynes-based leisure and sport business has entered administration after 198 staff were axed in 2009.

Rileys Sports Bars chief executive, Maurice Kelly: 'We are desperately sorry that we could not take everyone with us but we've worked hard to rescue the majority of our clubs, saving 625 jobs.

'Continuing cash flow and trading difficulties on the High Street has forced this administration but the new company has been fortunate in securing significant investment from private sources to take the business forward and to secure one of the oldest names in British sport.

'The double-dip recession has put pressure on all discretionary spending in the country and we have not been immune to those problems experienced by retailers.

'There have also been on-going issues with the smoking ban and changes to the Gambling Act which disadvantaged commercial snooker clubs.'