Seafolly: Strategic restructuring and growth enablement
Seafolly, one of Australia’s most iconic women’s swimwear brands, faced significant operational and financial pressures in 2020.
Related Services
RestructuringRelated Industries
Retail & ConsumerSeafolly, one of Australia’s most iconic women’s swimwear brands, faced significant operational and financial pressures in 2020.
With 44 stores across the country under the Seafolly and Sunburn banners, and a strong international footprint, the business entered Voluntary Administration.
With an independent lens and deep operational insight, our focus was on preserving value, reshaping the business, and positioning the brand for long-term success.
How we helped
Our role
We were appointed Voluntary Administrators of the Australian entities of the Seafolly Group, leading a targeted restructure and sale process. Our role extended beyond administration to support post-restructure growth through advisory and financing solutions.
Restructuring and sale process
To preserve value and ensure continuity of operations, we initiated a competitive sale process while restructuring the business. Key actions included:
- Strategic closure of 20 underperforming Sunburn-branded stores.
- Renegotiation of leases across the remaining store network.
- Assumption of approximately $10 million in personal liability to support ongoing operations.
The process generated strong market interest, attracting multiple indicative offers and resulting in the approval of a successful Deed of Company Arrangement (DOCA).
In a bold and entrepreneurial move, we also facilitated the acquisition of rival brand Jets Swimwear during the administration — a decision that created significant synergies and strengthened the combined business.
Post-restructure advisory
Engaged by an alternative credit provider, we completed a comprehensive pre-lend review of Seafolly, assessing its credit risk profile and identifying areas to mitigate downside risk.
Our recommendations supported successful debt financing, enabling Seafolly to:
- Pursue strategic growth initiatives.
- Increase debt facilities to provide a stable foundation for expansion and long-term value creation.
Outcomes acheived
- Preserved value during administration and achieved a successful sale process.
- Delivered synergies and strengthened the combined business through the acquisition of Jets Swimwear.
- Ensured all employee entitlements were preserved or paid in full, with unsecured creditors receiving full repayment.
- Supported Seafolly’s transition into a revitalised, growth-ready business.
Today, Seafolly continues to expand its presence with a strong digital-first strategy and retail partnerships. With over 400 staff and a one-third share of Australia’s women’s swimwear market, Seafolly is well-positioned to grow across key international markets – including through its recent acquisition of Tigerlily in 2024.
