Australian clothing company Mosaic has announced its closure, owing almost $250 million. The company was placed into voluntary administration at the end of October. Now a fresh report from external administrators shows a long list of creditors owed money.
Mosaic Brands Limited currently owes $249 million to 171 creditors, it has been reported, though this number may change as administrators continue to investigate.
Additionally, more than 300 employees are owed an undisclosed amount.
$30 million is owed to 23 Bangladeshi garment factories, with workers saying they worry about feeding their families.
KPMG has been appointed as receivers and managers, with the firm looking to sell the business.
Before it entered into administration, Mosaic announced it would shut down its entities Autograph, BeMe, Crossroads, Rockmans and W.Lane. These closures aiming to open up more investment in its other brands; Katies, Millers, Noni B and Rivers.
In total, Mosaic Brands has more than 700 brick and mortar shops and 10 online stores.
An announcement from the ASX said that “following recent attempts by the company to informally restructure its operations…voluntary administration is now the most appropriate way to restructure”.
The Mosaic group will continue to trade, focusing on a broader restructuring plan and the “key Christmas and holiday trading period”.
