THE company that manages Rivers and Millers clothing stores in Wangaratta, Mosaic Brands Group, has gone into receivership.

In a circular distributed to creditors and suppliers this week details that receivers are now in control of the group which includes its business operations, and assets.

"The appointment of the external administrators follows what has been a difficult period for the business which has faced a number of challenges and disruptions," the circular read.

"The Mosaic Brands Group sees this process as a chance to reset and a pathway to accelerate its plans to focus on its core brands (Katies, Millers, Noni B and Rivers), resolve legacy issues and right size the store network to ensure the ongoing success of the business."

Over the next few weeks receivers will be focused on stabilising relationships with key suppliers and stakeholders, undertaking an assessment of the business, to identify other areas of improvement and upside; and working with Hilco to conduct a stock realisation and store consolidation process."

Concurrently, the voluntary administrators will shortly be commencing an EOI process for the sale and/or recapitalisaiton of the business.