Heritage fashion house UnderCoverWear (UCW) has collapsed into administration.
The fashion and lingerie company operates as a party plan business across Australia and New Zealand, manufacturing and selling women’s underwear, nightwear, and apparel.
Administrators Ginette Muller and Lachlan McIntosh of FTI Consulting have been appointed to manage the affairs of the business.
The news follows a recent announcement by UCW that it was on course to execute a company turnaround following the appointment of new CEO and director Montgomery Grant to the helm last year.
As previously reported on ragtrader.com.au, UCW also appointed a new national field sales manager in January 2014 to help boost the company's profits.
At the time, the company said its new recruit, Katrina Gregory, had “hit the ground running and commenced a major overhaul of the company's field compensation plan to bring it in line with current competitors”.
CEO Grant also had said he was confident the company could make a comeback.
“Under new management, [we are] confident that the steps taken to rebuild the sales field, improve training methods, and re-vitalise the garment range will create growth in the third and fourth quarter of the 2014 financial year.”
At the time of his appointment, Grant had said he was also focused on “implementing some exciting new changes” into the UCW business.
According to reports, UCW posted a net loss of $1.36 million for the 2013 financial year.
A creditors meeting has been scheduled for March 20 in Bella Vista, NSW.
UCW was established 33 years ago in a small garage in a suburb of Sydney.