South Canterbury Finance chief executive resigns

Lachie McLeod

South Canterbury Finance chief executive Lachie McLeod is leaving the company, shareholders were told at the annual meeting in Timaru yesterday.

McLeod has resigned and will leave on November 30. Nigel Gormack, a chartered accountant, will be interim chief executive and will start on December 1.

"The board would like to take the opportunity to thank Lachie for his leadership of the company over the past six years and wish him well in his future endeavours," the company said.

Last month, South Canterbury Finance said it would repay a US$100 million private placement facility and it has since paid US$50 million of that. The remaining US$50 million will be repaid progressively over the next five months.

A credit rating downgrade triggered a right for the investors in the facility to require repayment. The company is covered by the Government's retail deposit guarantee scheme and wants to take part in the extended version of the scheme.

South Canterbury Finance's owner, Southbury Group, has appointed Forsyth Barr and Harmos Horton Lusk as advisers to assist in the restructuring and recapitalisation of the group.

- NZPA