Creditors lose out, failed Serepisos firms owe $50m
A pair of Terry Serepisos' companies put into receivership were carrying more than $50 million in debts and unsecured creditors are likely to be wiped out.
A pair of Terry Serepisos’ companies put into receivership were carrying more than $50 million in debts and unsecured creditors are likely to be wiped out.
Frozen lender Equitable Mortgage appointed John Fisk and Richard Longman of PricewaterhouseCoopers as receivers to 79 Manners Street and Maison Property Holdings on May 19.
First receivers’ reports for the companies note Equitable is owed $14.4 million, South Canterbury Finance $27 million, ASB Bank $5.5 million, ANZ National Bank $3 million, and First Mortgage Trust $1 million.
The value of the companies’ assets appear to fall substantially short of this combined $50.9 million debt. Reports for both companies note: “From our observations to date we believe that there are unlikely to be any funds available for unsecured creditors.”
The companies own, and receivers are selling, the Ivivi Building on Victoria Street, several dozen car parks, and 23 apartments and units at the Lone Star and Renaissance Apartment complexes.
Last weeks' complex sale of the Grand Mercure Hotel to Mark Dunajtschik also gets a mention:
"Prior to our appointment, the Company entered into a sale and purchase agreement for certain car parks located at 74 Tory Street, Wellington. The proceeds of this sale will be applied to the secured creditors over this asset with no funds available to the receivership. To ensure that the receivership did not affect the Company's ability to complete the sale, Equitable Mortgages partially revoked their appointment of receivers over this specific asset only," the report said.
The reports notes South Canterbury’s security interests have been subordinated to ASB, and Inland Revenue are owed $2500 GST by Maison.
Matt Nippert
Mon, 18 Jul 2011
Mon, 18 Jul 2011
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Creditors lose out, failed Serepisos firms owe $50m
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