G-Star Raw has entered into voluntary administration in Australia, despite reportedly not experiencing any major debt. The decision leaves an uncertain future for G-Star Raw’s 57 stores across Australia and 200 employees.
Ernst & Young’s Justin Walsh, Stewart McCallum and Sam Freeman have been appointed administrators of G-Star Australia and are conducting an urgent assessment of the company’s affairs and will determine the strategy for the administration as soon as possible. The administrators named major commercial landlords as the company’s most significant creditors.
The Australian operations of G-Star Raw previously went into voluntary administration in 2015. States and territories in Australia, which has 97 reported deaths from COVID-19, are easing restrictions since the country shut its boarders to all non-citizen and on March 19, 2020.
Since the start of 2020, Australian department store Harris Scarfe shut more than 20 stores and several specialty retailers have collapsed. Jeanswest, a denim chain store with 146 stores in Australia, also entered voluntary administration, citing online competition and tough market conditions.
