Dion Lee in Administration

Dion Lee Faces Uncertainty with Australian Unit in Administration

Brand Continues International Operations While Attracting Potential Investors

In a challenging period for independent design talents, Dion Lee joins the list of brands facing difficulties, with The Vampire’s Wife, Mara Hoffman, AZ Factory, and Calvin Luo recently shutting down their operations. Dion Lee’s Australian business has entered voluntary administration, the equivalent of bankruptcy in the U.S., overseen by dVT Group.

Dion Lee FW 23

Despite the setback, the brand, popular with celebrities like Dua Lipa and Cher, continues to operate internationally. The administration affects only the Australian segment, which includes six stores, while the international business, encompassing 160 wholesale doors and a store in Miami, remains unaffected.

Dion Lee 2023 ad campaign

James Miller, who became CEO of Dion Lee in December, brings experience in managing troubled designer businesses. He previously guided The Collected Group’s brands, including Equipment, Joie, and Current/Elliott, through a pandemic bankruptcy. Miller had planned to expand Dion Lee’s retail presence and its accessories and footwear lines before the current crisis.

Dion Lee SS24

The administration process was triggered when Cue Clothing Co., the majority owner of Dion Lee’s Australian business, withdrew from the partnership.

“We are in the very early stages of our administration process and our focus right now is on speaking with the Australian and U.S.-based team and getting across all the relevant operational and financial data,” said administrator Antony Resnick in a statement.

Potential buyers are reportedly interested in the business, indicating a possible sale. “The Dion Lee brand has built global recognition and credibility in the world of high fashion,” Resnick said. “It is regularly worn by cultural icons and influencers. It is noted in the industry for its unique designs, all of which should attract both local and international investor interest.”

Dion Lee SS24 show

Founded in 2009, Dion Lee has garnered a following for its subversive and sexy designs. The brand opted to show in Shanghai instead of New York for the fall season in February.

The broader designer fashion industry has faced difficulties with cautious retail buyers and consumers squeezed by inflation. Other brands like The Vampire’s Wife, Mara Hoffman, AZ Factory, and Calvin Luo have also recently shut down their operations.