The fate of the iconic Lisa Ho Group has been decided.
Administrators for iconic design house Lisa Ho have confirmed that the company has entered liquidation and revealed further details on the fates of its various components.
As reported in Ragtrader [July 2013], the Lisa Ho Group had incurred a debt of over $11 million, by the time it was placed into administration in May.
Administrators Todd Andrew Gammel and Barry Anthony Taylor of HLB Mann Judd have since been sorting through the company's affairs and confirmed that, as a result of a creditors’ meeting held today (July 10, 2013), the Lisa Ho Group entities have entered liquidation and will be wound up.
Gammel also revealed that they, as administrators, have reached an agreement with owner Lisa Ho regarding the purchase of the majority of the intellectual property of the Lisa Ho business.
The confidential agreement followed the separate sale of the Lisa Ho eyewear intellectual property to Face Optics on June 28, 2013. Face Optics produces and distributes luxury eyewear in Australia.
Gammel said the arrangements with Ho and Face Optics will result in a return to the secured creditors of the Lisa Ho business after costs.
“After the extensive sale program, we came to a position that the sale of the IP to the two separate parties was the best way of maximising value for these assets.
“The arrangements also mean that there is an opportunity for the Lisa Ho brand to continue in both eyewear and clothing, notwithstanding the liquidation of the Lisa Ho Group entities and ongoing realisation of remaining assets by the liquidators,” Gammel said.
Gammel said the business will be closed over the next two weeks.
As previously reported on ragtrader.com.au, the Lisa Ho retail network has been shut down. The online store and retail stores in the Strand in Sydney and Chadstone in Melbourne closed on July 7, 2013.
Gammel said a final warehouse sale is to be held at the Lisa Ho warehouse in Surry Hills, tomorrow (July 11, 2013) and Friday (July 12, 2013).
“We appreciate the loyalty of Lisa Ho customers who have shown in their support for the business in recent weeks,” he said.
All remaining assets including unique samples, classic Lisa Ho dresses from her archive of 30 years, vintage fabric and fixed assets at the Surry Hills head office are for sale/auction this week.
Last week 40 kilometres of raw material stock, thousands of buttons, zippers and accessories were sold through the warehouse.