What: Two former managers acquire and relaunch Harrolds as a menswear-only luxury retailer, leveraging their combined 33 years of experience to revive the iconic Australian brand.

Why it is important: This management buyout demonstrates how industry expertise and brand heritage can be leveraged to resurrect luxury retail businesses, particularly significant as department stores globally seek sustainable transformation strategies.

The resurrection of Harrolds, Australia's prestigious luxury department store, marks a significant moment in retail history as two former managers, Arasch Enayat and Gino Pagano, take ownership of the brand. With their combined experience of 33 years at Harrolds, the pair have self-funded the acquisition and secured the trademark from the Poulakis family. The new venture, dubbed "Harrolds 2.0," will return to its roots as a menswear-only luxury retailer, operating from its former Sydney location. The strategic decision to rehire ten previous employees underscores their commitment to maintaining the exceptional customer service that distinguished Harrolds in the past. The retailer plans to offer a comprehensive range of luxury menswear, from formal suiting to casual wear, while maintaining relationships with established brands like Rick Owens and Thom Browne, and introducing new Italian labels such as Isaia and Maurizio Baldassari to the Australian market.

IADS Notes: The revival of Harrolds by former employees reflects a broader trend in luxury retail transformation. In February 2025, Harvey Nichols demonstrated the power of strategic investment with a GBP 25.5 million revival plan, while in January 2025, Holt Renfrew successfully balanced accessibility with exclusivity through enhanced personal service. The focus on menswear-only luxury retail aligns with recent market innovations, as seen in November 2024 when Harrods unveiled dedicated spaces for timeless luxury collections. Harrolds' strategy of re-establishing brand partnerships mirrors successful approaches observed in April 2025, when Galeries Lafayette achieved double-digit growth through strategic brand expansion. This resurrection of a luxury retail name, backed by experienced industry professionals, exemplifies how heritage brands can be revitalised while maintaining their core values and service excellence.

Why two former employees are betting on bringing back Harrolds