Chinese retailer Miniso’s Australian business collapses into administration — again

Chinese discount variety products chain Miniso has collapsed into administration for the second time in four years, underscoring the tough climate for retailers as consumers pull pack on spending. Miniso Master Franchisee has appointed insolvency firm Jirsch Sutherland’s Melissa Lau, Andrew Spring and Peter Moore as administrators for its Australian business on May 13, according to filings to with the corporate regulator. The administration affects about 140 employees from 21 stores across Australia, 13 of which are corporate stores and eight joint venture stores. It’s understood all are trading as normal. The stores impacted include Carousel in Perth; Burwood, Castle Tower, Galeries, Parramatta, Rhodes, Sydney Central, Top Ryde, and Hornsby in NSW; DFO South Wharf, Highpoint, Spencer Outlet, Northland and Box Hill in Victoria; Pacific Fair in Queensland. Mr Spring said they were currently discussing a rescue proposal with Miniso HQ, although noted Miniso HQ was not the parent company or holding entity of the Australian business. “This is a voluntary administration, which enables the administrators to trade the businesses while exploring the best possible solution,” he said. “Voluntary administration can be an excellent business rescue process.” On its website, Miniso claims to sell nearly 850 products ranging from cosmetics, stationary, kitchenware, toys and other household goods. In July 2020, Miniso called in Grant Thornton’s Philip Campbell-Wilson and Said Jahani to conduct a restructure. Miniso was founded by Jack Ye in 2013 and is headquartered in Guangzhou, China. It claims it has successfully entered 100 countries and regions and opened more than 5,000 stores around the world.