Denim giant G-Star is placed in administration because they can’t pay their rent anymore – with 200 staff likely to lose their jobs
Denim giant G-star has left its 200 Australian staff in limbo after entering administration.
Administrators for the Dutch-owned chain said the ‘significant impact’ of the coronavirus had put pressure on traditional retailers already struggling to survive.
G-Star launched in 1989 and has 57 stores across Australia.
‘We are now conducting an urgent assessment of the business and will determine a strategy as soon as possible,’ Ernst & Young administrator Justin Walsh said in a statement.
Pictured: Australian actress Ruby Rose, 33, (pictured) appears in a 2019 campaign for G-Star Raw. The Dutch-owned company has entered administration – leaving its 200 Australian staff in limbo
The brand has 17 bricks-and-mortar locations within Australia and flagship stores across the world including in New York, Paris and London.
Global superstars including Pharrell Williams and Jaden Smith have worked with the brand – which specialises in unwashed, untreated, raw denim as its base material.
It follows dozens of Australian brand names entering administration since the start of 2020.
Even before the lockdown impact was felt, swimwear label Tiger Lilly, accessories retailer Collette, and stationery chain Kikki K were all placed into administration.
Meanwhile, several big names have directed their focus towards their digital stores as sales boom online.
In February, Australian Fashion designer Alex Perry announced the closure of his flagship Sydney CBD store while Footwear giant Accent Group, which owns Hype DC, Platypus and Athlete’s foot, reported last month 28 stores would shutdown.