Fears Postie Plus creditors to miss out
A creditor of national clothing chain Postie Plus says most creditors have lost hope of getting any of their money paid.
The NZX-listed company was put into voluntary administration with PricewaterhouseCoopers in June to avoid liquidation.
Although the company was sold last Friday to South African retail group Pepkor as a going concern, the administrators have remained tight-lipped about the fate of Postie's creditors and shareholders.
One of Postie's creditors, speaking anonymously, said he understood most of the creditors would not get paid.
"My understanding is that BNZ is going to get part of their money back but certainly the other creditors won't get anything." He said Postie owed his business tens of thousands of dollars.
He was unhappy about the secrecy that had surrounded the process.
"There was a meeting last week for the major creditors, but all the others didn't get to hear anything." He said the toll would be heavy on smaller suppliers.
"A couple of the smaller creditors were pretty distressed." A watershed meeting at which the administrator calls in creditors to decide the future of the company was supposed to happen within 20 working days of the date the administrator is appointed, but PwC applied for an extension until September. The creditor was concerned about the delay, and the time given to directors of the company to report on the company's failings.
"The directors don't have to report on why the company has failed until September, and I think that's pretty appalling." PwC administrator Colin McCloy said yesterday the key focus of administration was to preserve the business as a going concern.
"We have achieved the objective of administration." He could not disclose commercially sensitive information about the new buyer.
He said most creditors were pleased with the outcome and fewer than 20 Postie employees were members of the union.
There were a number of matters to work through before he could announce creditors and shareholders' final position.
"Pre-administration creditors remain frozen at this stage. We are not yet in a position to advise the extent to which they may receive payments of pre-administration balances."
"We are not in a position to advise the extent to which, if any, shareholders will receive anything for their shares." He could not give a date for the watershed meeting.