Evans & Tate, Australia’s sixth largest producer has called in the administrators.
It is the end of an 18-month struggle for survival yesterday for the embattled wine company, which owes US$100m (£40.3m) to its bank ANZ.
Evans & Tate appeared to have secured its future when it reached agreement on a restructuring with an investor group which included ANZ.
However, on 17 August this investor group told Evans & Tate it was ‘not satisfied with the results, and that they reserved their rights to terminate…after Friday 24 August’.
Evans & Tate was also told that 25% of its shareholders would not support the restructuring plan. This caused ANZ to refuse to give any further financial support leaving the board no further options. The company has around 160 employees.
Evans & Tate has appointed Ferrier Hodgson as administrator. ANZ has appointed McGrath Nicol as receivers and managers, to look after its interests as a secured creditor.
Written by Jim Budd