LVMH-backed Australian Swimsuit Brand In Administration Due to Virus

Seafolly Pty Ltd, an Australian swimsuit maker part-owned by French fashion giant LVMH Moet Hennessy Louis Vuitton SE, appointed administrators on Monday citing a sales downturn from the coronavirus, the latest casualty of the health crisis in the country’s retail sector, Reuters reported. “Seafolly made the appointment because of the crippling financial impact of the COVID-19 pandemic,” said Scott Langdon and Rahul Goyal, of KordaMentha Restructuring, in a statement. Discretionary retailers around the world have faced store closures and a collapse in consumer spending since governments ordered most businesses shut to slow the spread of the virus earlier this year. Seafolly’s move into adminstration points to gaps in various corporate relief packages set up by the Australian government during the shutdown, such as a wage subsidy scheme and a deferral of certain financial reporting obligations to help companies stay afloat. Read more