|        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Thursday, July 18th, 6:26PM


Latest Headlines

Hanover investors learn their options

Hanover’s investors will find out today details of the company’s restructure package, which is likely to include significant shareholder support, along with plans to repay debenture holders all their principal.

Wednesday, November 19th 2008, 8:54PM
The proposal is being called a debt restructuring plan (DRP), rather than a moratorium.

Principal repayment is likely to be on a five-year timetable.

Details for the DRP will be live on at 11 am. (Click here if you would like an email when the story is live).

The DRP will cover 14,000 debenture holders in Hanover Finance and United Finance, and the 1500 people who invested around $25 million in Hanover Capital notes and bonds.

It is expected that the company will aim to return 100% of debenture holders’ principal over a five year period.

However, bond and noteholders are only likely to get 50c in the $1 back.

As previously reported on the shareholders, Mark Hotchin and Eric Watson, will stump up with cash and also the assets of Hanover’s property arm, Axis. These property assets will be transferred to the company at a discounted price.

It is expected, as reported earlier, that the support package will total up to $96 million made up of cash, assets and guarantees.

Investors have around $65 million invested in United Finance and $462 million in Hanover Finance.

Hotchin has previously said that one of the aims, aside from repaying investors, is to have a functioning company at the end of the DRP period in 2013.

Investors will get to vote on the proposal on December 9 in Auckland.

« Who has got a guarantee?Hanover details plans »

Special Offers

Commenting is closed



Printable version  


Email to a friend
Today's Best Bank Rates
Rabobank 5.25  
Based on a $50,000 deposit
More Rates »
News Bites
Latest Comments
Subscribe Now

Deposit Rates newsletter

Previous News


Most Commented On
About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox  |  Disclaimer
Site by Web Developer and