Koko Black placed into administration
The business, which currently employs around 300 people across its retail and manufacturing operations, will remain functioning over the Christmas period, as options to restructure and recapitalise the business will be examined.
Deloitte has been appointed to manage the administration, with restructuring partners Sal Algeri, and Glen Kanevsy announced as joint voluntary administrators.
“Koko Black is synonymous with innovation and quality of product and service. The business expanded very rapidly and undertook a series of major projects over the past 18 months. In combination, the level of activity was beyond the resources of the business,” said Algeri.
“Our appointment will not have any impact on Koko Black’s operations. It’s important that customers, suppliers and employees understand that it’s business as usual. Christmas is historically the strongest trading period of the year and we urge everyone to support the business during this time,” he said.
Established in 2003, Koko Black operates 14 locations across Australia, and a recently opened outlet in New Zealand, which will not be subject to the appointment.
A first meeting of creditors will take place on 19 November.