Scoop has an Ethical Paywall
License needed for work use Register

Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Wynyard administrators make more than half staff redundant

Monday 31 October 2016 05:03 PM

Wynyard administrators make more than half staff redundant

By Edwin Mitson

Oct. 31 (BusinessDesk) - More than half the staff at crime-fighting software company Wynyard Group have been made redundant by the company's administrators.

The Auckland-based company went into voluntary administration last week after it gave up on seeking a $10 million loan from one of its major shareholders, the UK's Skipton Building Society.

Some 72 management and staff positions have been shelved in Auckland, Wellington, Christchurch and Dubai. That leaves 60 people at the company. Nineteen people lost their jobs in Auckland, two in Wellington, 41 in Christchurch and 10 in Dubai.

"We have worked through Wynyard New Zealand's operating prospects and its continuing cash burn," KordaMentha partner and administrator Grant Graham said in a statement. "In its existing form, the New Zealand operation is not profitable which limits our options in terms of sales prospects and processes."

Graham said they had received interest in a number of the group's assets but the lack of cash meant they were unable to maintain the ongoing cost of all the existing staff.

"Our priority now is to reduce the cost base and work with parties to realise value for Wynyard Group's intellectual property embedded in various products. Unfortunately, as administrators, we cannot justify incurring continuing costs without confidence in a successful outcome."

A first meeting of creditors is due to be held on Nov 4.

Wynyard listed on the NZX in 2013, with investors paying $1.15 a share. The stock soared as high as $3.12 in March 2014 but shares were worth just 21.5 cents when the company eventually went into administration.



Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

© Scoop Media

Advertisement - scroll to continue reading
Business Headlines | Sci-Tech Headlines

FMA: MAS To Pay $2.1M Penalty For Making False Representations

Following proceedings brought by the FMA, MAS has been ordered to pay a $2.1M penalty for making false and/or misleading representations to some customers. MAS admitted failing to correctly apply multi-policy discounts and no claims bonus discounts to some customers, failing to correctly apply inflation adjustments on some customer policies, and miscalculating benefit payments.More

IAG: Call On New Government To Prioritise Flood Resilience

The economic toll of our summer of storms continues to mount, with insurance payouts now topping $1B, second only to the Christchurch earthquakes. AMI, State, & NZI have released the latest Wild Weather Tracker, which reveals 51,000 claims for the North Island floods & Cyclone Gabrielle, of which 99% (motor), 97% (contents), and 93% (home) of claims have now been settled. More


Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.