Article – BusinessDesk

May 30 (BusinessDesk) – Allied Farmers Ltd., which has seen shareholder value destroyed in its unsuccessful bid to take on the Hanover and United Finance loan books, wants an external party to wind down the ex-Hanover assets.

Allied Farmers looking at third party to wind down Hanover assets

By Paul McBeth

May 30 (BusinessDesk) – Allied Farmers Ltd., which has seen shareholder value destroyed in its unsuccessful bid to take on the Hanover and United Finance loan books, wants an external party to wind down the ex-Hanover assets.

The company is in the process of appointing a third party to manage the portfolio, and expects to use former Bell Gully partner and insolvency specialist Graham McKenzie as a consultant for the Hanover assets.

The shake-up comes as Allied restructures its management ahead of chief executive Rob Alloway’s departure at the end of June. The company will split leadership of its rural and investment divisions, with an outside manager for the property and loan assets and a new chief executive for the rural arm.

Shares in Allied are languishing at 1 cent apiece having halved this year, and have slumped from 15.7 cents when it took on the Hanover assets in a debt-for-equity swap in December 2009.

The company’s chief financial officer, Gary Wong, finished up with Allied on Friday.

Allied said it expects to announce the new rural chief shortly.

(BusinessDesk)

Content Sourced from scoop.co.nz
Original url