Snowgum Australia enters administration after 89 years trading

Outdoor apparel retailer Snowgum Australia has become

the latest retailer from Down Under, collapsing into administration. Glenn Franklin, Petr Vrsecky and Jason Stone from Melbourne-based law firm Lawlor Draper Dillon in Melbourne have been appointed as administrators.

The administrators will allegedly look for potential suitors interested in buying the veteran retailer, as a sell is considered the best chance of recovery.

Administrator Glenn Franklin revealed that the franchise has already advertised for a buyer, with a number of parties already showing interest at the first expression of interest deadline. “It is a well-known brand in a competitive market,” said Franklin to Australian media as the news broke over the weekend.

Estimated debt to unsecured creditors is around 2.2-2.3 million dollars although the amount is still to be confirmed. Franklin says no major banks were owed money, but unsecured creditors consisted mostly of suppliers and landlords.

Franklin says the company has approximately over 86 employees plus casuals and operated 17 retail stores in Victoria, Tasmania, New South Wales, ACT and Queensland, together with eight franchisee stores in Victoria.

Snowgum Australia was launched at The Scout Shop in 1924, and has changed hands as well as names along the past century. Its core product offer is performance outdoor clothing, luggage, footwear and travel accessories.