Pumpkin Patch: Childrenswear brand to close its doors after failing to attract buyer

Pumpkin Patch will be closing its doors by mid-February after receivers were not able to attract a buyer. By the end of January, 68 stores of the childrenswear chain that employ 560 people will be shuttered.

The rest of the 56 stores will be closed when the stock is sold, according to KordaMentha partner Neale Jackson. She added it hasn’t yet been determined which stores will close first or how much money will be recouped for creditors from the sales.

“We have successfully traded stores through the traditional holiday period and stock levels are now considerably reduced,” Jackson said in a statement. “The balance of stock will be consolidated in the remaining stores as the receivership enters its final phase.”

Pumpkin Patch has 117 stores, employing as many as 1,000 people, across Australia; and 43 stores, employing 600 people, in New Zealand. As reported by AAP (via News Corp), when the childrenswear chain went into receivership, it indebted $NZ60 million ($AU57 million) to ANZ Bank New Zealand. This number was an increase from $NZ46 million ($AU44 million) in July 2016. At the time, Pumpkin Patch recorded an annual loss of $NZ16 million ($AU15 million). Jackson said the employees and the staff were aware it would lead to gradual closure of the stores.

On its Facebook page, the store thanked its customers for their “support over the years” and announced that the website has been closed. “Pumpkin Patch AU website is now closed and no longer accepting online orders. Any current orders already placed will be dispatched,” the post reads. “Thank you for your support over the years. You can still shop in store. Best regards, the Patch Crew.”

People showed their appreciation towards the brand. "I LOOOVE your store. I dressed both of my kids with Pumpkin Patch. Always such beautiful and magical designs," one person wrote on the company’s Facebook page.