Wild Pair Goes Into Receivership

New Zealand apparel retailer Wild Pair has felt the pressure of the competitive market.

Wild Pair’s directors Paul and Michael Donovan have put the company into receivership, but business will continue to run as usual.

Receivers William Black and Andrew Grenfell from McGrathNicol have been appointed.

“Wild Pair’s stores will continue to trade while we work with stakeholders, management and staff to stabilise operations in order to facilitate a thorough assessment of the company’s financial position,” Grenfell says.

Wild Pair’s first store opened on Queen St in 1994. They have a total of 23 stores around NZ.

First Retail managing director Chris Wilkinson says he’s saddened by the news, as Wild Pair is a unique addition to the New Zealand retail sector.

“It has a bit of an icon brand, as it’s been edgy and the stores are quite contemporary. New Zealand needs that, because we don’t have that sort of homegrown chain out there. Mid-range chains are quite vulnerable and we need to protect them,” Wilkinson says.

The news follows a slew of apparel retailers which have been in hot water this year, including Pumpkin Patch, Shanton, Identity and Jean Jones, while Kathmandu and Kirkcaldie & Stains have issued profit warnings.

Wilkinson says though it’s not the exact same genre of clothing, the likes of Topshop opening a store in New Zealand earlier this year will be affecting Kiwi retailers such as Wild Pair.

This is because New Zealand is a relatively small market and fast fashion is a competitive space, he says.

“There is only a certain amount to go around. Glassons is regaining strength and picking away at this market, Topshop will have picked away at it, so that’s probably where the biggest issues are for these established retailers.”

He speculated that the rise in online shopping could also be a factor, as could a lack of customer loyalty in the younger demographic.

“Particularly in Wild Pair’s case, their customer demographic is extremely flexible in its shopping choices. If there’s a trend, they’ll easily be swayed,” he says.

The release implied that Wild Pair would be looking for buyers and said any expressions of interest should be referred to the receivers.