Australian retailer eyes Pumpkin Patch

Children’s clothing retailer Pumpkin Patch may be saved by Australian online retail business Catch Group.

Catch founders Gabby and Hezi Leibovich had been been looking at several collapsed clothing retailers, including Marcs and David Lawrence, and EziBuy.

But the company settled on Pumpkin Patch as the Leiboviches were worried about the risk and effort required to turn EziBuy around, which lost $15 million last year on sales of $163m.

Catch Group owned Catch of the Day, Scoopon, Grocery Run and Mumgo.

Pumpkin Patch was placed in voluntary administration and receivership last year after struggling with a lack of money and too much debt. Failing overseas stores, global competition, and a poor online strategy were the main reasons leading to its demise.

A receivers’ report by Brendon Gibson and Neale Jackson of KordaMentha in December showed the group owed almost $60m, chiefly to ANZ.

KordaMentha had tried to sell the business as a going concern but the company was placed in liquidation after it received no serious expressions of interest.

All physical Pumpkin Patch stores in New Zealand and Australia have closed.

But the Pumpkin Patch brand name and customer base was still up for sale.

The name and customer base of troubled electronics chain Dick Smith was bought in a similar move last year, by Australian online retailer Kogan, for $2.84m.