CANBERRA – Australia’s oldest department store David Jones collapsed on Nov 5, finally succumbing after almost 200 years to a digital era that sent shoppers to cheaper and nimbler online rivals.
McGrathNicol executives have been appointed as voluntary administrators, while FTI Consulting staff were named receivers, according to a statement.
The chain’s physical and online stores are continuing to trade, while McGrathNicol is seeking buyers or offers to recapitalise the business.
Private equity firm Anchorage Capital Partners bought David Jones in 2023.
The upmarket retailer was founded in 1838, half a century after Britain started sending convicts to Australia. The company is named after the Welsh-born immigrant that opened a store in central Sydney.
David Jones has about 38 locations across Australia and New Zealand.
“We understand the current retail trading environment, rising costs, a significant and outdated retail footprint, and supply-chain challenges have led to this point,” said Christopher Hill, one of the FTI Consulting receivers.
David Jones chief executive officer Erica Berchtold said in the statement that the company has a “well-developed plan on how to reset the business for the future”. BLOOMBERG
