Receivers appointed for Patoka Dairies Limited

Receivers appointed for Patoka Dairies Limited

PricewaterhouseCoopers partners Maurice Noone and John Fisk were appointed receivers of Patoka Dairies Limited on 16 March, 2010.

Mr Maurice Noone said the company appears to have over extended itself and has not be able to secure the necessary funding to complete certain development activities and to fund current operations and the projected debt levels. “As you can imagine, this is a last resort following extensive discussions between the parties, and is as a result of them failing to reach an acceptable position for each.”

“The initial priority is to work with key stakeholders to address financial and operational challenges. However, it should be noted that there is currently a plan for the completion of the development of these properties, and subject to our review of this, we will be working closely with the bank to secure the necessary funding to enable it to be implemented.”

Furthermore, Mr Noone states that “As receivers of Patoka Dairies Limited, we understand that such a situation can cause uncertainty, and accordingly we will work as quickly as possible to complete the restructure plan and to secure funding to complete the planned developments and to support ongoing operations. During this period we are adopting a “business as usual” approach and all employees will be retained whilst we work through and develop our strategy.”

In the meantime, Mr Noone urges all stakeholders and interested parties to be patient: “We will provide a report as soon as we possibly can but we recognise this will take some time. Anyone with concerns or queries should contact PricewaterhouseCoopers in the first instance.”

ENDS

© Scoop Media