After fashion retail players like, Esprit, David Lawrence and Marcs, Oroton, GAP and Specialty Fashion Group have shut their stores in Australia due to the sluggish market conditions, native brand Metalicus has followed suit and will be shutting down completely.
The 26-year-old fashion company, at present, has 29 functional stores in Australia and after entering voluntary administration, it has decided to repay its loyal customers by providing a minimum of 20 per cent to a maximum of 50 per cent discount on the stocked apparel products.
Notably, the brand witnessed declining sales in the fiscal year 2016 to US $ 25 million. It’s the then parent PAS sold it to General Pants Group in the same year, finding the brand’s performance ‘unpleasing’.
Recently, Hong Kong-based Esprit too shut down all of its 67 stores in Australia that left 365 people jobless. The fashion retailer too cited poor performance in the region as the key reason to take the tough call, earlier this month.
However, a spokesperson from Metalicus has assured that the closure will not impact General Pants Company and its stores by any means.
Interestingly, a former employee of the brand reportedly stated that it was the lack of design innovations and deep discounting strategy that led to the downfall.
The Australian retail brand has appointed Melbourne’s PKF as their accountants to carry out the administration process.
