Major Aussie beauty company BWX collapses as it searches for buyer for half of Zoe Foster-Blake's brand
Major beauty and wellness company BWX has been placed into voluntary administration, effective immediately.
FTI Consulting has taken over as administrators of the company, though its operations outside Australia are not affected.
BWX has ownership stakes in several major brands, including Zoe Foster-Blake's popular Go-To skincare company.
BWX has gone into administration, putting their flagship brand Sukin into jeopardy. Michael Dodge
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Go-To is run and managed independently and not included in the administration.
BWX owns 50.1 per cent of Go-To, but is "actively working to find a compatible buyer".
A statement issued from BWX cited "customer destocking and inventory and working capital issues" as reasons for entering administration.
"The Directors believe entering Voluntary Administration will help progress the restructuring process already underway with new management at BWX and give the company the best chance of future profitability," the statement to the ASX read.
"The Directors will work with the Administrators to ensure a positive outcome in the Administration, with employees and customers remaining a top priority."
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The majority owners of Zoe Foster-Blake's skincare company are looking to sell off their stake in the brand. Kristoffer Paulsen
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The administrators intend to trade the Australian operations of BWX as usual.
No job losses have been announced.
Trading in BWX on the stock exchange has been suspended.
Other brands owned by BWX include Sukin, a "cruelty-free and vegan" skincare range available in supermarkets and major pharmacies.
BWX also owns Flora & Fauna, Nourished Life, Andalou Naturals and Mineral Fusion.
The administration of BWX takes place three weeks after another brand they owned nearly half of, Elsa Pataky's Purely Byron, went into administration.
BWX owned 47.4 per cent of Purely Byron, which collapsed less than a year after it was launched.
Elsa Pataky's Purely Byron brand went into administration last month. Purely Byron
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