The managing director of Australia’s wildly popular back-to-school accessorizer Smiggle, John Cheston, has been fired for “serious misconduct,” the brand’s owner said. 

Cheston was in “serious breach of his employment terms and on that basis his employment has been terminated today,” Just Group said in a one-sentence statement on Monday, without elaborating. 

Just Group, wholly owned by Premier Investments Ltd., runs a stable of brands including sleepwear maker Peter Alexander, Just Jeans and apparel label Portmans. 

Anything-for-school business Smiggle has exploded in popularity since starting out as a single shop two decades ago and now has hundreds of stores worldwide, with its water bottles — festooned with bright colors and patterns — especially prized among many Australian children. 

Cheston is due to become CEO of Australian jewelry retailer Lovisa Holdings Ltd. next June. His sudden departure comes as Premier considers spinning off Smiggle and Peter Alexander, and has also been weighing a merger of its apparel brands business with local department-store operator Myer. 

Premier shares dropped as much as 8.1% before trading down 4.7% at A$33.57 ($22.4) at 10:12 a.m. in Sydney. –BLOOMBERG