The luxury brand Paule Ka, owned by Thierry Le Guénic, has been placed in receivership due to significant liabilities. Despite an annual turnover exceeding 8 million euros, the company’s debts are over 4 million euros. The main reason for the company’s insolvency is a sharp decline in global ready-to-wear consumption.
Paule Ka was created in 1988 by Serge Cajfinger in Paris and prides itself on being a premium player in the ready-to-wear market. The brand currently includes two boutiques in Paris, “corners” in department stores, stores in Lyon and Luxembourg, and an outlet in Strasbourg.
Thierry Le Guénic purchased the brand in February 2021 but has faced financial difficulties with other businesses he acquired under his ownership. Brands like Burton of London and Maison Lejaby also faced similar fates. This trend raises questions about his ability to manage and sustain luxury brands successfully.
The fate of Paule Ka remains uncertain as it goes through the receivership process set by the Paris commercial court.
