Troubled handbag retailer OrotonGroup Limited has called in the administrators and suspended its quotation on the Australian Securities Exchange after announcing restructure plans in May.
The retailer told shareholders on Thursday morning it had not found any restructure plans that were a more viable option for the business than the appointment of administrators.
Vaughan Strawbridge and Glen Kanevsky of Deloitte Restructuring services have been appointed as administrators of the business, saying in a statement the company will continue to trade while they seek a sale or recapitalisation of the business.
OrotonGroup, which was founded in 1938 by retailer Boyd Lane, has faced significant challenges in the past 12 months, including ending its relationship with GAP after bringing the brand down under in 2013, and posting a $14.25 million loss for the 2017 financial year.
“Our ambition is that a stronger Oroton business will emerge from this process,” Strawbridge said.