The iconic dessert brand Sara Lee has gone into voluntary administration in Australia.
Established originally in the USA, Sara Lee has recently faced inflationary pressures and problems with suppliers in Australia. While demand for Sara Lee’s products is strong, higher operation costs resulted in Sara Lee Australia “trading at a loss this financial year”, according to first reports.
The Australian Sara Lee operation was founded in 1971 and has a plant in Lismore, Australia.
In June 2021, New Zealand private equity firm South Island Office (SIO) purchased the Sara Lee brand from Canadian frozen food multinational giant McCain for $36.5 million.
Famous for its baked cheesecakes, pies and crumbles, Sara Lee was hoping to find a buyer, or restructure.
The first creditors meeting is scheduled for this week.
