Surf clothing company Quiksilver has filed for bankruptcy in the USA. Reports suggest the Californian brand lost a staggering 79% of its market value this year.
The US investment firm behind rival surf label Billabong, Oaktree Capital Management, has stepped in to rescue the failing company. Pierre Agnes, chief executive of Quiksilver, said Oaktree’s $175 million investment would allow it to “satisfy our ongoing obligations to customers, vendors and employees, but we will also have the flexibility needed to complete the turnaround of our US operations and re-establish Quiksilver as the leader in the action sports industry”.
The surf brand was founded in in the Victorian surfing town of Torquay, Australia, in 1969 by two surfers, Alan Greene and John Law. It was brought to the USA in 1976 and was listed on the New York Stock Exchange in 1986. It operates 834 stores worldwide and is also the parent company of surf brand leaders Roxy clothing and DC shoes and boots.
The company released a statement confirming that it its operations outside of the USA will not be affected by the bankruptcy filings.