The receivers of the assets of Rural Portfolio Capital (RPC) and Rural Portfolio Investments (RPI), companies associated with businessman Craig Norgate, have raised a total of $29.1 million from two blocks of shares.Kerryn Downey and Andrew Grenfell of Mc
The receivers of the assets of Rural Portfolio Capital (RPC) and Rural Portfolio Investments (RPI), companies associated with businessman Craig Norgate, have raised a total of $29.1 million from two blocks of shares.
Kerryn Downey and Andrew Grenfell of McGrathNicol sold 10 million shares in NZ Farming Systems Uruguay yesterday to existing NZFS shareholder Olam International Ltd.
The tranche was sold at 41c per share, equal to the closing level of NZFS shares today.
The sale of the $4.1m worth of NZFS shares, and $24.3m worth of PGG Wrightson shares earlier this month, completed the receivers' asset sales.
Returns totalled $29.1m, including $742,314 in a dividend escrow account, before costs and any recoveries under guarantees.
The managed sale of both blocks of shares was the only option, given the volatility of world stock markets and the inability to distribute the shares to the former redeemable preference shareholders, the receivers said.
Mr Downey and Mr Grenfell were appointed receivers and managers to the secured assets of RPI and RPC on May 3.
They were appointed by Trustees Executors, security trustee for investors in RPC-issued redeemable preference shares, which had an issue price of $60m, after RPC announced it was in breach of its security trust deed.
The preference shares had been automatically and immediately redeemed, cancelled and de-listed.
Trustees Executors and the receivers planned to send a detailed letter shortly to about 1400 former RPC redeemable preference shareholders, now secured creditors.
The receivers were also working with Computershare and Trustees Executors Limited to make an interim distribution to all secured creditors within the next few weeks.
