Hellaby Holdings market update

Hellaby Holdings market update

Investment company Hellaby Holdings Limited today provided a market update. The company will release its audited results for the year ended 30 June 2010 on 26 August.

Debt update

Hellaby’s core bank debt at year end was $25.0 million, which is 51% lower than at 30 June last year. Total net debt at 30 June 2010, including $50 million capital notes, is therefore expected to be around $75 million.

Capital notes update

Hellaby Managing Director, John Williamson said that as a result of Hellaby’s ongoing debt reduction since 2008, the company was now able to give shareholders and capital noteholders clarity with regard to its $50 million notes which mature in June 2011.

Mr Williamson said that the company would either redeem the capital notes for cash or roll over the capital notes (or a combination of those two options), and he confirmed that the company did not intend to convert the capital notes to shares, as was allowed under the Trust Deed.

“Hellaby’s balance sheet has been sufficiently reformed since 2008 for our board and management to signal our capital notes intentions early, as we committed to do at our November 2009 AGM. We have significantly de-risked Hellaby’s balance sheet and portfolio, and we can now plan the company’s future with greater confidence.”

Senior appointment

Mr Williamson also advised that Hellaby has appointed Greg Batkin as Chief Investment Officer, commencing in August. Mr Batkin has most recently been Director, Investment Banking at Craigs Investment Partners and previously held similar roles with ABN AMRO and Westpac.

ENDS

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