Former Myer executive chairman Bill Wavish has acquired collapsed Australian fashion retailer Cue Clothing Co, pulling the 60-year-old apparel group out of receivership after administrators shut down more than half of its retail network.

The purchase gives the veteran retail leader control of both the Cue label and sister brand Veronika Maine, concluding an insolvency process that reduced the business from 51 retail locations to just 20 doors.

Investment firm Hilco Capital placed the business into administration and receivership in September after a one-month sales campaign failed to secure a buyer, leaving receivers from FTI Consulting to manage operations amid “insufficient sales”.

Hilco Capital initiated the insolvency proceedings after private sale efforts stalled. Receivers from FTI Consulting took charge of the operating business as customer traffic softened and sales failed to cover overheads.

The company suffered severe executive departures during Hilco Capital’s one-month sales campaign, losing both its chief executive officer and chief financial officer. FTI Consulting kept the registers running at a rump of viable locations while looking for bidders with the balance sheet to take on long leases.

Store closures came swiftly. In mid-October, receivers confirmed the shuttering of 26 locations across the country, cutting lease obligations and staff rosters to stop operating losses while negotiations continued.

Wavish, who led department store chain Myer as executive chairman ahead of its listing on the Australian Securities Exchange, stepped in to beat competing interest from fashion brand operator Brand Collective. Justin Levis, son of Cue founder Rod Levis, had also pursued the assets during the bidding process.

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