Keen interest shown in troubled boutique stationery chain.

 

The financially-troubled boutique retail stationery and gift chain kikki.K has been sold to a Texas-based lifestyle products company. 

 

The Australian company went into voluntary administration earlier this year with 65 stores and 450 jobs on the line.

 

In an online creditors meeting on 25 June, shareholders voted in favour of a deed of company arrangement with the new owner E.C. Designs LLC, which trades as Erin Condren Designs.

 

ECD is based in Austin, Texas, and primarily sells personalised and customised organisation and lifestyle products.

 

Media reports said creditors are likely to get around 1-2 cents per dollar.

 

According to the administrators, the sale will save the majority of kikki.K jobs and keep a majority of the stores open.

 

kikki.K’s New Zealand stores have already been closed and all staff positions terminated according to BDO, kikki.K’s receiver in New Zealand.

 

A BDO spokesperson told Stuff that the potential buyer of the Australian operations had also expressed interest in the New Zealand business, and provided information regarding local landlords in order to facilitate the sale.

 

Inside Retail reported that nine expressions of interest in the business were received within 24 hours of the company going into administration.