Two-thirds of Wool Services in play as receivers move on two more Hubbard vehicles
By Pattrick Smellie
Dec. 16 (BusinessDesk) – A 63.8% stake in NZAX-listed wool processor New Zealand Wool Services International Ltd. is formally up for grabs as receivers PricewaterhouseCoopers move to appoint receivers to two companies with links to failed lender South Canterbury Finance.
Plum Duff Ltd., registered in 2000 with SCF principal Allan Hubbard and his wife Jean as directors, is one of the two companies placed in receivership. The other, Woolpak Holdings Ltd., was registered in 2006 with Timaru businessman Ross Lund as its sole director.
The receiverships have no impact on WSI’s operations, other than to put a majority shareholding in play. WSI shares rose 4.9% to 45 cents in NZAX trading.
The likelihood of new majority owners was canvassed at WSI’s Dec. 7 annual meeting, where managing director Michael Dwyer noted SCF’s financial difficulties, and at which former SCF director Stuart Nattrass stepped down from the WSI board.
“At least six separate parties have expressed strong interest in acquiring the shares,” Dwyer told shareholders in the business, which produces scoured New Zealand wool for markets around the world. “While we’re watching developments with interest, the matter has no effect on the running or stability of WSI.”
Formal expressions of interest will be sought early in the New Year, PWC’s receiver, Maurice Noone, said.