Administrators for iconic design house Lisa Ho have confirmed that they have begun to disband the brand's retail network, following a failure to attract buyers for the business as a going concern.
As previously reported on ragtrader.com.au, the empire of local designer Lisa Ho was placed into administration in May, despite having confirmed her intention to list on the National Stock Exchange of Australia (NSX) in February.
The label incurred over $11 million in debt following its fall into administration, with administrators Todd Andrew Gammel and Barry Anthony Taylor of chartered accounting, consultancy and insolvency firm HLB Mann Judd, appointed to handle its affairs.
Commenting on the decision to now close all Lisa Ho stores across the country, Gammel said the inability to find a buyer for the Lisa Ho Group business as a going concern, despite “considerable interest”, reflected the “softness of the current trading environment”.
“A sale of the Lisa Ho Group business as a going concern has not been achieved within the sale program. So we are now focused on an orderly closure of the remaining Lisa Ho Group stores,” he said.
“Despite having received a number of expressions of interest, I think the failure to find a buyer for the business as an ongoing concern reflects the softness of the current trading environment.
“I think prospective buyers can see there is a great opportunity on the 'other side', but in this market they are all too worried about their own backyards at the moment to consider taking on anything new.”
However, Gammel said that despite the closure of the Lisa Ho retail network, discussions are continuing with a number of interested parties in relation to the purchase of intellectual property, stock and other assets of the Lisa Ho Group.
As part of the retail shut-down process, an immediate final sale is now underway until Sunday , June 30, 2013. All current season designs, classic evening and bridal dresses are discounted to clear at the following locations:
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Lisa Ho Strand Arcade, Sydney
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Lisa Ho at David Jones, Elizabeth Street Sydney
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Lisa Ho Chadstone, Melbourne
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Lisa Ho at David Jones, Bourke Street Melbourne
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Lisa Ho Wintergarden, Brisbane
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www.lisaho.com
For exclusive details on the factors behind the Lisa Ho Group collapse, pick up a copy of Ragtrader July 2013 print edition – out June 28, 2013.