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Australia’s Colette by Colette Hayman to close 33 stores to attract buyer

colette by colette hayman

Australia’s jewellery and accessories retailer Colette by Colette Hayman is set to shutter more than 30 stores across the country, as administrators better position the bankrupt company to potential buyers.

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Following the news in early February that the mainstay retailer of affordable handbags, jewellery and accessories was filing for administration – following a dismissal holiday trading period and a failed investment deal — Colette will close 33 domestic stores after a decision was made by Deloitte administrators — Vaughan Strawbridge, Sam Marsden and Jason Tracy – who were placed in control of the business.

Colette currently operates 137 stores and the 33 stores take place in the last week of February and into March. Affected store include outlets in Adelaide’s Rundle Mall and Melbourne’s Spencer Street, according to local media reports.

As for staff cuts, Deloitte failed to give specific details on the number of jobs that would be affected. Affected staff – some 300 permanents plus casuals — would be reassigned where possible and paid wages and entitlements in full, Deloitte added.

“This is never easy and we have regrettably had to make the decision to close 33 stores. We are working closely with the Colette management team to effect the closures quickly, while seeking to redeploy staff impacted,” Strawbridge said.

While the names of potential buyers for the struggling Colette have not been announced, expressions of interest from buyers are due early next week, according to reports.

Businesswoman Colette Hayman, the former owner of jewellery chain Diva, founded Collette in 2010. Hayman sold Diva to fellow discount jewellery chain, Lovisa, in 2007.

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Colette’s bankruptcy marks the fourth major retail collapse in the last few months in Australia. In January, fellow fashion retailers Bardot and Jeanswest filed for administration, after discount department store Harris Scarfe announced its collapse late last year.