High-profile Aussie fashion label popular with A-list celebs goes into administration

A high-profile Australian fashion label that dressed the likes of Taylor Swift and Dua Lipa has gone into administration.

A high-profile Australian fashion label that dressed the likes of Taylor Swift and Dua Lipa has gone into administration.

The Australian arm of luxury apparel brand Dion Lee Enterprise went bust on Thursday afternoon, reportedly after a partnership deal fell through.

The eponymous Dion Lee, who is from Sydney but now resides in New York, founded the business in 2009 when he was just 23 by showcasing his collection at Australia Fashion Week.

Now 38, Dion Lee witnessed his company grow to have six stores in Australia and 160 outlets globally and became popular among some of the world’s elite.

In February, Dion Lee made headlines after Taylor Swift wore his $650 crochet corset to the Super Bowl.

The Australian fashion designer also recently worked on a shoe collaboration with Kanye West and in the past his designs have been worn by icons such as Dua Lipa.

A quick search on the site shows a faded unisex trucker jacket selling for as high as $690.

A pair of men’s shorts was going for $420AUD while a woman’s crop top was priced at $560, under the sale section.

But recently, the brand fell upon tough times.

The Dion Lee brand has gone into administration. Picture: Stefan Gosatti/Getty Images for AFW

Vogue Australia hosts celebrity drinks at Paris Fashion Week. Dion Lee is on the left, next to Catherine McNeil.

Antony Resnick, of insolvency firm dVT Group, has been appointed as the administrator of all of the Australian Dion Lee Enterprise entities, as of Thursday.

The business will keep trading until Mr Resnick can properly understand its financial position and is currently looking for interested parties.

“The Dion Lee brand has built global recognition and credibility in the world of high fashion,” Mr Resnick said in a statement to news.com.au.

“It is regularly worn by cultural icons and influencers. It is noted in the industry for its unique designs. All of which should attract both local and international investor interest.”

He said it was too early to comment on the company’s assets or liabilities, but a creditor’s report is being prepared and will be announced at the first meeting.

Mr Resnick is in discussions with Dion Lee’s US team to find out more about its financial circumstances.

Dion Lee Enterprise reportedly couldn’t carry on after a major partnership deal collapsed.

Cue Clothing Co withdrew from a long-running partnership agreement it had with the brand and recalled their investment, according to The Australian.

Cue Clothing Co had been partnered with Dion Lee since 2013, and was a shareholder of the company.

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Taylor Swift wearing a Dion Lee corset at this year’s Super Bowl. Picture: Patrick T. Fallon / AFP

Dion Lee “is regularly worn by cultural icons and influencers”, its administrator said. Picture: Ezra Shaw/Getty Images

It comes as a number of major retailers have been left with little choice but to shut down as interest rate rises drives Australians to tighten their purse strings.

Last year, Australian prestige clothes firm Alice McCall went into liquidation. News.com.au reported that the company owes $1 million to creditors.

News.com.au reported on another independent retailer, called Design A Space, which also collapsed as a result of the nation’s struggling retail sector.

The year before, trendy sunglasses business Soda Shades also went into administration owing $2.3 million, and just a week before, sneaker company Sneakerboy also folded with $17.2 million owed to more than 100 creditors.

Online fashion giant Missguided also had no choice but to call in administrators after failing to secure a rescue bid, with big name brands like The Iconic and Myer selling its wares prior to its collapse.

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Originally published as High-profile Aussie fashion label popular with A-list celebs goes into administration