An Australian fashion retailer has gone into voluntary administration, leaving an uncertain future for staff at more than 50 stores.
Sydney-based fashion business Cue Clothing Co, which operates women’s labels Cue and Veronika Maine, was founded in 1968.
It was handed over on Tuesday to voluntary administrators Duncan Clubb and Shaun McKinnon of accounting company BDO, with Kate Warwick and Vaughan Strawbridge of FTI Consulting appointed as receivers.
The two labels have a combined total of 51 stores across Australia.
The companies’ clothes are also sold in department stores Myer and David Jones at dozens of locations.
In a statement, FTI Consulting said the company had been overwhelmed by overhead costs.
This was despite an increase in sales and other improvements across the business.
The company will continue trading as administrators look for buyers for the business to ensure staff keep their jobs. The receivers will also look at restructuring options.
Another Australian retailer, Barbeques Galore, collapsed in June, leaving 500 workers out of a job.
The company was placed into voluntary administration in February, with receivers tasked with finding a new buyer.
While there were several interested parties, receivers said there were no acceptable offers to recapitalise the business by late May.
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