Hanover Finance co-founder Mark Hotchin says the erosion in value of assets Hanover sold to Allied Farmers is ridiculous.Mr Hotchin returned to New Zealand today and faced a TV3 camera an interviewer.The assets of the finance company founded by Mr Hotchin
Hanover Finance co-founder Mark Hotchin says the erosion in value of assets Hanover sold to Allied Farmers is ridiculous.
Mr Hotchin returned to New Zealand today and faced a TV3 camera an interviewer.
The assets of the finance company founded by Mr Hotchin and Eric Watson were sold to listed company Allied Farmers last year but the value of the assets have been drastically written down to $109.97 million from $396.2m when sold.
Mr Hotchin was reported to have flown his personal trainer to be with him at a holiday hideaway in Hawaii and was spotted by a pool at a five star resort in Italy. It has also been reported that he will sell a mansion in Auckland's prestigious Paritai Drive when it is completed.
Mr Hotchin told TV3 that he was last in New Zealand a month ago and his return had nothing to do with the Paritai Drive property. He had not decided if he would live in New Zealand.
He said he had lost $300m and had put more money back into Hanover than had ever come out of it. The Paritai Drive house would be finished and sold, he said.
He did not know why things had gone so badly with the Hanover and United Finance assets sold to Allied Farmers.
"It is just ridiculous, the valuation erosion," he said.
Allied Farmers reported a $77.587m loss in the 12 months to June 30. Its finance company Allied Nationwide Finance has collapsed, its chairman has left and its chief executive has signalled his departure.
