The future of embattled surfwear chain Surfstitch Group is set to be determined in three weeks’ time, according to a statement released today by the company’s administrators, John Park, Quentin Olde and Joseph Hansell of FTI Consulting.

The administrators announced a second meeting of creditors will take place in Sydney on 4 April in order to determine the future of the company and outcome of the voluntary administrations.

The administrators stated it would be in the creditors’ interest to execute a deed of company arrangement proposed by Ezibuy Holdings Ltd, a multi-channel apparel and homewares retailer, which started as a mail order business in New Zealand nearly 40 years ago.

It is the second deed of company arrangement presented to creditors, include a proposal submitted by non-executive director Abigail Cheadle  before the first creditors’ meeting in September last year.

Cheadle’s proposal, which was contingent on the settlement of the $20 million Crown Financial Group litigation and class actions, would have paid back major creditors by swapping debt for equity.

The Crown legal action has since by settled, but Surfstitch still faces a $100 million class action filed on behalf of shareholders by Quinn Emanuel Urquhart & Sullivan.