Australian jewellery retailer Kleins has been placed into voluntary administration after the company collapsed owing more than $20 million.
According to www.news.com.au, Ferrier Hodgson partners James Stewart and George Georges have been appointed as administrators of the Kleins Group, which includes Kleins Franchising, The Jewellery Chain and JDA Imports.
Kleins seems to be the latest victim of the massive decline in consumer spending after four interest rate rises, while new competitors entering the lucrative jewellery market have also had an impact on the privately owned company.
Kleins, which has been trading for more than 24 years, sells jewellery and fashion accessories through small retail outlets based mostly in regional shopping malls. It has 200 outlets across Australia, New Zealand and South Africa including 150 franchised stores and the remainder company owned.
According to the administrators the business would continue to operate, while the company’s financial records are examined.