Dorchester Pacific, whose stricken finance company Dorchester Finance has defaulted on its loans, aims to finalise a survival plan in mid-August and put it to a vote in the last week of August or early September.
"We are confident that the plan will represent the best option for
debenture holders and note holders," the company said in a letter to investors.
Last month, Dorchester Pacific said Dorchester Finance, which owes debenture holders $168m, declared it was deferring repayments on maturing debentures due to liquidity problems.
Dorchester said it was getting independent expert advice from Grant Samuel and Associates and had engaged property specialists Jones Lang Lasalle to review the company's property finance assets and a timetable for sales.
It had also engaged Colin McCloy of PricewaterhouseCoopers to critique the plan "so as to ensure it will be not only robust but also in the best interests of debenture holders and note holders".
It said it would shortly present the plan to the trustees, Perpetual Trust and New Zealand Permanent Trustees Ltd for review.
In advance of the formal vote, Dorchester said it would hold meetings in major centres to discuss the plan.
- NZPA
