Seven Nike stores across sydney have suddenly shuttered after its franchise owner lost licensing power.

Sydney-based franchisee AF-1, which operated multiple Nike stores across the city, has been forced to close its doors following the loss of its licensing agreement with the iconic sports brand. The collapse marks the end of nearly two decades of operations for the company.

AF-1, in operation since 2006, managed Nike stores in several locations across Sydney, including Pitt St, Bondi Junction, Chatswood, Burwood, Neutral Bay, Warringah, and Castle Hill.

Customers holding store gift cards will not be able to recoup their losses, as these are considered unsecured debts. The exact total value of the affected gift cards has not been disclosed.

The company’s liquidation is being managed by BCR Advisory, with the firm indicating that it is actively coordinating with Nike and landlords to ensure an orderly shutdown of all stores.

“The Liquidator’s office is working with Nike and the various landlords to arrange an orderly closedown of the shops and, where appropriate, return of goods to Nike under its supply arrangements,” the company said.

Employees and trade creditors will also be contacted directly by the liquidator’s…