Administrators of Wittner complete sale to Jo Mercer owner The Shoe Group

Collapsed footwear brand Wittner has been rescued by the company already behind some of the nation’s popular shoe retailers like Jo Mercer, Novo and Spendless Shoes.

Century-old Wittner appointed Deloitte restructuring partners Sal Algeri and David Orr as administrators in April, becoming the latest retailer to succumb to a pullback in discretionary spending as households grapple with higher cost-of-living pressures.

Less than two months later, the administrators revealed it had entered a period of exclusivity with The Shoe Group for the proposed sale of the majority of Wittner.

On Thursday, Deloitte administrators said they have completed the sale and recapitalisation of Wittner to privately-owned The Shoe Group — owner of footwear brands like Everflex, which sells school shoes, and Ipanema — through a deed of company arrangement.

Deloitte restructuring partner Daniel Demir said the completion of the sale and recapitalisation process represented a new chapter for the iconic Australian brand and its employees.

“The success of the sale, which occurred in the context of a challenging retail environment, will allow for the continuation of the majority of the Wittner business including retail stores and concessions, as well as the retention of over 170 employees,” he said.

Wittner has over 20 branded stores in Australia and New Zealand, and more than 25 concession shops across department stores David Jones and Myer. It also has an online presence via its own website, Myer and David Jones, and The Iconic.

In Perth, Wittner has a standalone store in Booragoon.

Mr Orr said the sale had delivered a positive outcome for creditors, landlords and concession partners.

Last month, The Shoe Group chair Ian Unwin said it was excited about the opportunity to bring Wittner into the business.

“It is a brand with a proud legacy and strong customer following and we look forward to supporting its continued success,” he said at the time.

The sale of Wittner will be welcomed news for the retail sector, which has seen the collapse of several popular brands over the past few months. They include denim and casual wear retailer Jeanswest and apparel group Mosaic, which was behind brands Noni B, Rockmans, Rivers, Millers and Katies.