A 73-year-old Adelaide-based knitting mill has been given a second chance to keep its wheels turning after it was acquired this month by the founders of fashion powerhouse Sunset Lover after a 48-hour capital raising media campaign saw $1 million raised to save the Australian-owned and operated manufacturer.
Silver Fleece was established in 1951 by Tim Jovanovic, who came to Australia after the Second World War, and was sold in 2003 to Cathy Barton, who had worked for the mill for 20 years prior to purchasing it.
The knitting mill, which makes everything onsite at its factory in Hindmarsh in South Australia, supplies schools, colleges, businesses, sporting clubs, and other organisations throughout Australia with ready-to-buy and made-to-order uniforms, clothing and accessory items.
However, the business entered administration last month, following a general meeting on June 26, 2024, resolving that the company be wound up.
The capital raise marks a potential comeback for the knitting mill, with Dean and Melanie Flintoft, who founded the sustainable brand Sunset Lover in 2021, securing the assets of Silver Fleece from liquidators on August 9.
As of Monday, Silver Fleece has resumed business under the new management and the Flintofts have confirmed that they will “immediately reassure all existing customers of our renewed operations, well-capitalised status and continued commitment to excellence, whilst concurrently building a new portfolio of clients to further strengthen our position and get the mill operating at 100% capacity”.
Speaking with SmartCompany, Dean Flintoft confirmed the pair raised $1 million to save the knitting mill.
“The funds are being used for recapitalising the business, improving the efficiency, new knitting machinery and business development,” says Flintoft.
History was behind the reason the Flintofts decided to save the mill.
“Our school jumpers were Silver Fleece and our kids’ jumpers were Silver Fleece,” he says.
“We read the story about the business in liquidation and it really resonated with us and we realised we had the ability, ideas and motivation to save it.
“A media release went out and within 48 hours we had a great response from the community about investing in the business to secure its future.”
Silver Fleece’s 20 staff members and technicians will continue to work at the knitting mill under the new management, with the staff primarily women and younger employees.
Melanie Flintoft told SmartCompany their vision for Silver Fleece is centred on growing the current business and its markets, with the addition of fashion.
For Silver Fleece, this means “a revitalised and recapitalised business, utilising the current staff that is working on a business development strategy to take us forward securing more government, school and sporting contracts,” she says.
“(There was an) incredible response from the community for not only investment but for new business and proves that Australians are passionate about Australian made and sovereign capabilities.”
Sunset Lover will also join Silver Fleece’s existing clients, which include Cricket Australia and private and public schools, with Sunset Lover set to launch its upcoming Resort 2024/25 collection in collaboration with Silver Fleece.
“The partnership will allow Sunset Lover to have a sustainable, Australian-made range with full supply chain visibility from Australian fibres that we will take to the world,” Melanie Flintoft told SmartCompany.
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