Kestelman sizing up rescue of PAS Group

ADMINISTRATORS for the retailer behind high-profile fashion brands including Review and Black Pepper are believed to be closing in on a rescue deal.

The retailer, PAS Group, could soon be in the hands of entrepreneur Larry Kestelman, with private equity interests of Mr Ke st el man understood to be close to striking a deal to buy the fashion house.

It follows speculation last month that a wealthy family was circling the retailer.

The speculation that Mr Kestelman (pictured) is nearing a deal for PAS comes as chair Launa Inman steps down.

In a statement lodged with the Australian Securities Exchange on Tuesday, PAS announced Ms Inman had resigned as a director and chair, which took effect on Monday. There is no suggestion Ms Inman’s departure is linked to a potential takeover of the group by Mr Kestelman’s interests.

PAS, which also has brands including Yarra Trail and Marco Polo in its stable, entered voluntary administration late in May after the retail sector was up-ended amid the coronavirus pandemic.

The company is now under the control of administrators from PwC.

Mr Kestelman, who founded internet services supplier Dodo and owns a majority stake in the National Basketball League, had earlier been a shareholder in PAS.

With his 10 per cent stake, he moved to block a takeover bid for the retailer in 2015 from US-based investment house Coliseum Capital.

Mr Kestelman is chairman of the Melbourne-based private equity firm Queens Lane Capital.