CEO Lachie McLeod to leave SCF

JOHN BISSET/Timaru Herald

ON HIS WAY: Chief executive Lachie McLeod is leaving South Canterbury Finance.

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South Canterbury Finance chief executive Lachie McLeod is leaving the troubled finance company.

It was revealed McLeod was standing down at the company's annual meeting in Timaru today. He leaves at the end of the month and plans to pursue farming interests, SCF chairman Alan Hubbard said.

McLeod's departure comes at a tricky time for SCF, which had doubled in size in just five years until hitting trouble this year and reporting an annual loss of $69 million - its first loss since 1934.

The group, controlled by veteran Timaru businessman Hubbard, is looking to raise more than $100 million as it strives to get back on an even keel and reduce exposure to troubled property loans.

Hubbard, also controlling shareholder of the Southbury Group, said on October 31 SCF and Southbury would probably announce restructure and recapitalisation plans by the middle or end of November.

Southbury would probably float on the sharemarket in February-March 2010. The float would involve the entities that made up Southbury, and possibly also two other companies. Broker Forsyth Barr is helping organise the float details, though how much had to be raised was yet to be decided.

The Southbury Group components included Dairy Holdings and Helicopters NZ. The group also includes Scales Corp.

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