Cue & Co Pty Ltd, the overarching business behind the Cue and Veronika Maine brands, has entered voluntary administration.
Kate Warwick and Vaughan Strawbridge of FTI Consulting in Australia have just been appointed as Receivers and Managers of Cue & Co Pty Ltd, Cue NZ Pty Ltd and Cue international (NZ) Pty Ltd following the appointment of voluntary administrators.
Duncan Clubb and Shaun Mckinnon of BDO were appointed as voluntary administrators by the director of the companies today.
Cue Clothing Co. is a Sydney-based fashion business. Cue and Veronika Maine cover distinct but complementary positions in the premium Australian womenswear market with a retail presence across Australia and New Zealand, through its own boutiques as well as a presence in major department stores.
The receivers understand that “notwithstanding the increase in sales and other improvements across the group, these were insufficient to mitigate the impact of overhead costs currently in the business.”
The receivers are continuing to trade the business while they undertake an assessment and consider restructuring options available. A sale process seeking offers for Cue Clothing Co as going concerns will also commence immediately.
Cue's collapse today follows recent reports of top leaders across the business exiting. Chief executive Melanie Remai and CFO Josephine Barbaro have left recently, with Eric Morris stepping down as chairman of the company in June this year.