tmmonline.nz  |   landlords.co.nz        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Friday, November 1st, 10:39AM

Investments

rss
Latest Headlines

Orange Finance in receivership

Receivers have been appointed to Doug Somers-Edgar's finance company Orange Finance after a threee-year moratorium failed to turn the company's fortunes around.

Friday, August 3rd 2012, 9:07AM

by Niko Kloeten

The company went into moratorium in August 2009 after its debenture holders voted for the option instead of receivership.

However, Somers-Edgar said last month that the company's trustee, Covenant, was likely to appoint receivers by the end of the month.

According to the Companies Office, Grant Graham and Brendon Gibson of KordaMentha have been given the task of trying to extract the remaining value from the company's loan book.

Orange Finance owed $25.6 million to about 2500 debentureholders at the time it was placed into moratorium, with the number later revised to $23 million.

Since then it has repaid investors $12.7 million, with $10.3 million outstanding.

However, the company has only $6.8 million in financial assets remaining, including $6.2 million in loans, all of which are considered to be impaired.

In the past year $2.4 million worth of bad debt has been written off.

Somers-Edgar's company, Matrix Funding Group, has been managing the company through its moratorium, with Somers-Edgar receiving no director's fees, salaries or dividends.

Niko Kloeten can be contacted at niko@goodreturns.co.nz

« Rates round-up: July 30Rates round-up: August 6 »

Special Offers

Comments from our readers

No comments yet

Sign In to add your comment

 

print

Printable version  

print

Email to a friend
Today's Best Bank Rates
Rabobank 5.25  
Based on a $50,000 deposit
More Rates »
News Bites
Latest Comments
Subscribe Now

Deposit Rates newsletter

Previous News

MORE NEWS»

Most Commented On
About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox  |  Disclaimer
 
Site by Web Developer and eyelovedesign.com