Offshore acquisition spells the end of Esmod Australia

SYDNEY: Students and teachers at prestigious fashion school Esmod Australia have been left reeling in the wake of a dramatic ownership restructure.

The academy has cut ties with Esmod International – one of the oldest and most respected fashion design schools in the world – and is now trading as the Australian School of Fashion after its parent company was acquired by a Chinese education provider called Sinoed.

Sinoed terminated a licensing agreement with Esmod International as part of its acquisition, with speculation the move was prompted by Esmod’s premium licensing fees. 

Staff were informed of the change on October 26 and students at the academy were told in a letter from Meridian Group, which operated Esmod Australia and now the Australian School of Fashion, the following day.

It is understood many were left shaken by news exchange programs with Esmod France would cease as a result of the restructure.

“The school is in the process of establishing relationships with other fashion institutions around the world to replace the aforementioned,” the letter stated.

Meridian Group general manager Darren Wise said the overhaul will not affect the day-to-day running of the school, with staff and teaching hours remaining the same.

Delivery of the school’s diploma and certificate awards will also remain unaffected, he said. A fee reduction of 10 per cent has been implemented for all students; this will be backdated to the students’ 2009 account and credited against 2010 fees.

Esmod Australia launched just nine months ago as part of the Esmod International network, which includes schools in Tokyo, Berlin, Dubai and Moscow. Its history dates back 160 years, with its esteemed designer alumni including directors of prime international fashion labels.

In an email obtained by Ragtrader, Australian School of Fashion general manager Penelope Leonard assured students the restructure would not affect training standards at the academy.

“We wish to assure you that we, the staff, are firmly committed to you and your future fashion studies,” she wrote.

Melinda Oliver and Assia Benmedjdoub