Ed Harry administrators fail to find buyer, will close within weeks

Failed menswear retailer Ed Harry will close its doors for the last time in the coming weeks, resulting in more than 100 retail and head office job losses across the state.

Ed Harry will close its network of 87 stores nationally.

• KPMG seeks buyer for Ed Harry menswear chain
• Ed Harry falls into administration, putting 108 SA jobs at risk

Failed menswear retailer Ed Harry will close its doors for the last time in the coming weeks, resulting in more than 100 retail and head office job losses across the state.

The Hindmarsh-based company, which fell into the hands of administrators last month, has failed to attract a white knight to take over its national network of 87 stores, including 14 in South Australia.

Administrator KPMG’s Brendan Richards said he had no other option but to close down the retailer’s operations.

“Unfortunately, and despite having run a comprehensive sale of business campaign, there have been no viable offers received for the ongoing operations of the company,” he said.

“As such, the administrators have no alternative other than to progress to an orderly wind down of the company’s operations.”

Specialty Mens Apparel, trading as Ed Harry, fell into administration last month with debts of $12.95 million, following poor trading conditions in the latter half of last year and after failed attempts to attract new sources of funding to revive and grow the chain.

Approximately 100 trade creditors are owed $5.3 million, while close to 500 employees across the country, including 108 in SA, are owed $1.25 million in entitlements. Landlords are owed $2.4 million and 20 secured creditors are owed $4 million.

Since taking over management of the company, the administrators have embarked on a clearance sale of merchandise as it sought a buyer to take over the chain.

Mr Richards said he expected it to take up to eight weeks to sell off the remaining stock and to complete the closure.

Specialty Mens Apparel managing director David Clark thanked the company’s staff for their support and efforts during a “difficult period” for the business.

“Our team members and our customers have been incredibly supportive,” he said.

“This is a sad time for all those who have put so much into our business.”

Ed Harry has been trading since the first “Harry” menswear store was opened in Adelaide in 1932 by Victor Harry, with his son Edward joining the business in 1971.

The first “Ed Harry” menswear store opened in Glenelg in 1993, before an aggressive expansion strategy in the 1990s resulted in the chain growing to more than 100 stores nationally.

The company fell into voluntary administration in early 2011, with a network of 130 stores, and was bought and relaunched later that year by Specialty Mens Apparel.