The body count is mounting from Australia’s retail downturn.
On Wednesday, Jeanswest became the latest retailer to announce it is entering voluntary administration, putting nearly 1000 jobs at risk, and appointing KPMG as administrators.
“Like many other retailers, the business has been challenged by current tough market conditions and pressure from online competition,”KPMG head of retail restructuring James Stewart said in a statement. “The Administration provides an opportunity for Jeanswest to restructure so as to better respond to the challenging Australian retail market.”
There are around 146 stores in Australia, with the chain’s overseas operations unaffected by the move. It will now look to find a new owner for the chain.
“Jeanswest will continue to operate while the Administrators conduct an urgent analysis of the business,” KPMG partner Peter Gothard said. “The Administrators will be looking at all options for the restructure or sale of this established Australian retail business and are seeking urgent expressions of interest from parties interested in acquiring or investing in the business.”
KPMG says it will hold a meeting with creditors on 28 January to begin determining the future of the Australian retailer, which was originally set up in Perth in 1972.