TITANS BUY TIME WITH MOVE TO VOLUNTARY ADMINISTRATION

Written on the 23 April 2012

TITANS BUY TIME WITH MOVE TO VOLUNTARY ADMINISTRATION

THE Gold Coast Titans Property Trust's move into voluntary administration has delayed wind up proceedings from Reed Constructions in the Federal Court.

Reed, which built the Centre of Excellence and is owed $1.046 million, agreed to delay proceedings until after a creditors meeting in May. The case will return to court on June 1.

The case was scheduled to go before the court today, but the parties agreed to adjourn the matter after Titans managing director Michael Searle moved his company into administration. Titans legal representative Ashley Tiplady from Nyst Lawyers says it is the best move for creditors.

“Acceptance of the proposal put forward by Searle would be a much better result for creditors as it would yield a far higher return for them than in the event of the Reed Groups’ desired liquidation,” says Tiplady.

”It would have been a far easier decision to allow the company to go into liquidation but by putting forward the proposal Searle is not walking away from the situation, he is stumping up his own money to ensure the best outcome for the creditors.”

The Titans announced the voluntary administraion in a statement yesterday, saying it had been undertaken with the aim of shoring up the viability and sustainability of the Titans Football Club as the group moves to reduce significant debt.

The move will not have an effect on the day-to-day running of the football club and the NRL has been advised of the situation.

Voluntary administration will also assist with the settlement of the sale of the Centre of Excellence to Phil Ward and Bob Clarke announced earlier this month .

KordaMentha will take over as administrators with Robert Hutson and Ginette Muller in charge. They have worked with Searle to create a Deed of Company Arrangement (DOCA) will be put forward, which Searle says will allow creditors to receive a greater return on monies owing than if the Property Trust was placed into liquidation.

“While the decision was not an easy one, in the end it was the best option for all concerned,’’ says Searle.


Latest News

INTEREST IN RETAIL PROPERTY SPIKES AS INTERNATIONAL BRANDS LOOK TO ROLL OUT IN AUSTRALIA

AN influx of international retail brands into Australia over the next five years are expected to push up demand for f...

MANTRA BOASTS OF SUCCESSFUL HOTEL INTEGRATION AS NET PROFIT GROWS 15 PER CENT

MANTRA Group (ASX:MTR) CEO Bob East has praised the performance of the company's new Honolulu Hotel as it posted ...

WHITEHAVEN TRIPLES EARNINGS, PAYS DOWN DEBT AFTER COAL PRICE TURNAROUND

THE HIGH coal price has allowed Whitehaven Coal to triple earnings and pay down a large portion of its debt in the fi...

BABY BUNTING BUOYED BY CLICKS AND BRICKS PERFORMANCE

BABY Bunting has grown sales 18.1 per cent to $135.1 million in the first half of FY17, sweetened by the opening o...

Related News

WHY EMPLOYEE-OWNED COMPANIES ARE BEATING ASX200 SHARE PRICES

EMPLOYEE-owned companies command a higher share price than their publicly listed peers, reaping a 17 per cent prem...

RISE OF THE MACHINES HAS WORKERS SWEATING

UP TO 3.8 million Australian workers are fearful their job may soon be terminated by a robot, a new survey has shown....

LESS TALK, MORE SMALL BUSINESS ACTION IN 2017

THE future growth and prosperity of Australian SMEs could be undermined if governments lose sight of the sector...

TEST DRIVE A POST GRAD AT BOND

THERE'S only one way to really move your career into the fast lane, says Bond University, and 'test driving...

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter