Australian fashion icons Cue and Veronika Maine have entered voluntary administration, placing 51 remaining retail locations and hundreds of jobs at risk across Australia and New Zealand. Employees across both countries were informed of the corporate collapse on Tuesday afternoon.
Administrators Appointed and Stores Continue Trading
The companies’ directors appointed Duncan Clubb and Shaun McKinnon of BDO as voluntary administrators, according to Nine.com.au. Concurrently, lenders to the fashion group appointed Kate Warwick and Vaughan Strawbridge of FTI Consulting as receivers and managers over Cue & Co, Cue NZ, and Cue International (NZ). Despite the collapse, the business remains operational, and its 51 remaining stores—comprising 42 full-price shops and nine discount outlets—will stay open while a sale process gets underway. Online promotions are currently active across both brands, with Cue offering 25 percent off storewide and Veronika Maine discounting items by 20 percent, according to Nine.com.au.
Financial Pressures and Hilco Capital Ownership
Rod Levis originally founded Cue in Sydney in 1968 as a single Strand Arcade boutique inspired by London’s mod scene, eventually expanding the business into Myer department stores. In 1998, the company launched Veronika Maine as a softer alternative to Cue’s sharp tailoring, producing both brands out of the same Sydney studio. Under Hilco’s ownership, Cue’s sales increased in the last financial year compared to the prior year, while annual losses narrowed in the same period. However, FTI Consulting stated that these improvements were insufficient to offset soaring overhead costs. A spokesperson for Hilco Capital described the administration as a disappointing outcome, noting that the firm’s intention had always been to fund the company to restore growth and profitability, but called the appointment the only available course of action under the circumstances.
Broader Retail Headwinds and Future Sale Process
Cue and Veronika Maine occupy a market space more upmarket than ultra-fast fashion giants like Shein and Temu—and above mass-market chains like Zara and H&M—but positioned just below luxury designers, focusing heavily on professional women’s workwear. Ahead of the administration, Cue Clothing Co’s chief executive resigned after less than 18 months in the role, according to The Australian Financial Review cited by Nine.com.au. The brand also previously held a major stake in Dion Lee, withdrawing its investment in 2024 before Dion Lee subsequently collapsed and was acquired by American clothing giant Revolve Group. Receivers have launched an immediate sale process seeking offers for the businesses as going concerns, aiming to secure a pathway to profitability, safeguard the future of the brands, and protect ongoing employment for staff.
