Liberated Brands, the company holding licences for prominent Australian surf brands like Roxy, Billabong, and Quiksilver, has filed for Chapter 11 bankruptcy in the US. This decision, confirmed by the company, includes plans to shut down over 100 retail locations across the US and conduct a review of nine stores in Hawaii. Despite the bankruptcy, Liberated expressed its commitment to transitioning brand licences to new holders to maintain the presence of these iconic Australian brands in the US market.
The company faced declining sales due to a volatile global economy, changing consumer preferences, and the rise of fast fashion, which made it challenging for them to compete. CEO Todd Hymel noted that consumers were increasingly drawn to low-cost, quickly available fast fashion alternatives.
Alongside the store closures, nearly 1,400 employees were laid off, and the corporate offices also ceased operations. However, the Australian operations remain unaffected, with 18 Billabong and 13 Quiksilver stores continuing to function as normal. Authentic Brands, the licensor, announced plans to find new partners to ensure the brands’ future in the US. Billabong, established in Queensland in 1973, and Quiksilver, founded in 1969 in Victoria, have significant historical roots in the Australian surf culture.