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Aussie-business giant Armaguard has part-purchased the now defunct Cash Handling Systems for an undisclosed amount.
As previously reported in the NBR's print edition, Cash Handling Systems – the company that pioneered Txt pay and display parking – was put into liquidation by the High Court at on April 3 following an application shareholder and co-director Mark Oliver, who claimed the company was insolvent.
Co-director Russell Waite then claimed that the company was solvent and the Mr Oliver deliberately did not renew the company’s trade finance and products were delayed.
He believes that the liquidation of the company was done so that the Mr Oliver, Shape Technology and Armaguard could get hold of the business cheaply.
Armaguard national general manager Keith Broadhouse told NBR that Global International Solutions, which is partly owned by Armaguard-owned firm ACM, had taken control of the company’s assets.
He says the company had huge plans to invest in the company and would be looking at not only expanding it into Australian but also into Southeast Asia.
“We think there are huge synergies with our company,” he says.
Armaguard previously told NBR that the company was working alongside the liquidator and was being advised by them and that the purchase was entirely lawful.
According to the Companies Office website Global International Solutions is part owned by ACM Holdings and part-owned by Shape Technology. Shape Technology is a Christchurch firm that was responsible for the manufacturing of much of CHS machinery.
NBR understands that Shape Technology has been servicing many of the machines around the country for the various councils that own them including those owned by Queenstown Lakes District Council.
GIS was formed the day that Cash Handling Systems was put into liquidation.
The liquidators of Cash Handling Systems Ltd confirmed the sale.
“Existing staff will be offered employment with the purchaser,” the liquidators say in a statement.
“While the liquidators have not finalised the quantification of creditor claims, current indications are that the price obtained will be sufficient to make a significant repayment of creditors' debts if not 100%. The liquidators consider this to be an outstanding result in the current market conditions,” it says.
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