Details soon on DFH strategy

Dominion Finance Holdings (DFH) says it is making progress on a restructuring plan and should be able to finalise details in the coming fortnight.

The company's shares have been suspended since July 8 for not meeting a deadline for the annual report.

In mid-June the company said it was considering a moratorium on payments to debenture holders after becoming concerned about the liquidity of subsidiaries Dominion Finance Group and North South Finance.

DFH said it had had constructive meetings, with the support of trustees and bankers, for each member of the group.

Under a recapitalisation proposal significant further funds would be injected into the company but the details were still being developed.

DFH is looking to finalise details in the coming fortnight.

"If these details are completed to the satisfaction of the trustee a proposal will be forwarded for presentation to its investors and shareholders by end of September."

If the plan goes ahead the company will be able to complete its audit processes and lodge its annual report with NZX and the Companies Office during August.

The company's annual meeting on August 11 has been deferred.

DFH shares last traded at 13.5c, having fallen from a record high of $2.86 in May 2007.

- NZPA