Admin is “urgently” reviewing stock levels and looking to sell
The administrator of collapsed shoe retailer Sneakerboy is ‘urgently’ reviewing its stock levels as customers worry about delivery delays and frayed communication with the business.
Sneakerboy, a luxury sneaker and streetwear store with operations in Melbourne, Sydney and online, went into voluntary administration on Saturday.
While Sneakerboy has become known nationwide for retailing shoes with price tags over $1,500, the beleaguered company has now appointed Hamilton Murphy Advisory’s Stephen Dixon to oversee its faltering fortunes.
On Tuesday, the Sneakerboy group of companies said its voluntary administration was a “difficult but prudent decision” due to “short-term funding challenges”.
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Preliminary discussions with outside companies interested in buying Sneakerboy and its related entities are “urgently expedited,” read a statement.
The companies issued a more pressing statement on Wednesday afternoon, speaking directly to customers who had pre-purchased shoes and other fashion items from Sneakerboy.
“As part of the administrative process, Hamilton Murphy Advisory is urgently reviewing stock and inventory levels held by Sneakerboy and consolidating this information for customers and creditors,” the statement read.
“As soon as all this information has been gathered, the admin will be in contact with all customers to discuss their customer orders within the week.”
The first meeting of creditors is scheduled for Wednesday July 12, with Hamilton Murphy Advisory to inform “all stakeholders of the financial and structural situation of the companies”.
SmartCompany has contacted Hamilton Murphy Advisory for comment.
As the admin ramps up his attempt to sell Sneakerboy to an interested buyer, the company’s online store appears to remain online.
The site is still accepting expressions of interest for the sneakers which are set to go on sale July 23.
As the online store remains online, so do Google reviews from customers alleging that Sneakerboy significantly delayed their deliveries and provided little feedback on the status of their orders.
Responding to an unhappy customer this week, a rep for Sneakerboy apologized for the delay, saying “there are delays as we go through the busy period of sales and releases.”
Prior to its voluntary administration, Sneakerboy and its related companies were the subject of numerous liquidation attempts filed by lenders, business owners and, in one case, footwear giant Adidas itself.
Sneakerboy previously escaped dissolution in 2015, when a voluntary administration process led to the company’s large-scale takeover by Luxury Retail Group.