Australian billionaire retailer Brett Blundy has reportedly shown interest in taking a significant stake in KMD Brands, the New Zealand-incorporated owner of Kathmandu, Rip Curl, and Oboz.

KMD Brands is headquartered in Christchurch, New Zealand, and is dual-listed on the ASX and NZX.

The company rebranded from Kathmandu Holdings to KMD Brands in 2022 to reflect its multi-brand portfolio.

Speculation about approaches by Blundy’s family office have circulated, but no filing with the ASX or NZX confirms he has yet acquired shares.

The three retail chains have been under pressure as consumers in Australia and New Zealand cut back on discretionary spending.

Kathmandu is one of many retailers hammered by the cost-of-living crisis in recent years

In its 2025 full-year results, the company reported a net loss of NZ$93.6 million ($84.2 million), its worst result in at least a decade, despite sales edging up 1 per cent to NZ$989 million ($890.1 million).

The result included a NZ$45.5 million ($41.0 million) write-down of Oboz, which also booked an EBITDA loss of NZ$3.3 million ($3 million).

KMD has suspended dividend payments since 2023 and says managing capital remains a key focus.

New chief executive Brent Scrimshaw is pushing a turnaround plan that includes closing 21 stores globally and targeting cost savings of at least NZ$25 million ($22.5 million).

Blundy is well known for buying into struggling retailers and finding value.

He has previously invested in Best & Less, City Chic, and Accent Group, and remains founder and chairman of fast-fashion jewellery chain Lovisa.

He’s estimated to be worth around $2.5 billion, making even a double-digit stake in KMD, which has a current market capitalisation of around $150 million, a relatively small bet.

KMD’s shareholder register includes some deep-pocketed heavyweights, such as Allan Gray, the New Zealand Superannuation Fund, ACC and Briscoe Group.

For existing shareholders and potential investors, the question is whether Blundy’s involvement, if confirmed, could push for sharper management execution or structural changes.

Some large shareholders have already urged a sale of struggling outdoor footwear brand Oboz, and pressure on KMD’s board is mounting.