Irongate calls in receivers
Irongate Property, a unit of St Laurence Group, has requested its trustee appoint a receiver after failing to remedy continuing breaches of its trust deed.
Irongate Property, a unit of St Laurence Group, has requested its trustee appoint a receiver after failing to remedy continuing breaches of its trust deed.
Irongate has $50 million of listed bonds, which mature this month.
In December, Irongate trustee Perpetual Trust declined to grant a waiver for two breaches of the property manager’s trust deed.
Irongate said in a statement to the NZX today that its manager, St Laurence Funds Management Limited, had been unable to obtain raise sufficient capital, or sell sufficient assets, to remedy the breaches and pay bondholders.
Irongate chairman Kevin Podmore said it was “extremely disappointing that the Manager’s attempts to raise new equity have been unsuccessful.
“The moribund commercial property market has not been helpful. The Manager has however been able to put in place sale contracts which should result in a significant de-gearing of the balance sheet and repayment of much of its senior debt, placing bondholders and shareholders in a better position."
Wellington-based finance company St Laurence was last year sent to the receivers owing some $212 million plus interest
Irongate and National Property Trust managers were excluded from the St Laurence receivership, though the NPT contract was later sold when investors in the listed property entity successfully lobbied for an internal manager.
NBR staff
Tue, 03 May 2011
Tue, 03 May 2011
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Irongate calls in receivers
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