Time running out for Timbercorp investors
A consortium of Timbercorp investors has almost given up hope of finding a partner to help them buy the almond orchards.
Kerree Bezencon from Siger Super Services told Money Management the group had asked Timbercorp administrator Korda Mentha for a time extension to secure financing for its bid.
“We asked for Korda Mentha to extend the bid time but they have refused,” she said.
“It now seems the orchard assets will be sold to an overseas company for a lot less than they are worth and the investors could end up with nothing.”
The bids for the almond orchards closed two weeks ago and Korda Mentha has said there was interest from Australian and overseas buyers.
Bezencon said the investors in the failed schemes had supported a bid being put in on their behalf, but it needed additional finance to cover the orchard running costs until the next harvest.
“We need someone to front the bid and nobody has come forward,” she said.
“We have the support of the growers who are willing to pay towards these costs, but we also need somebody to help provide bridging finance.”
Bezencon said it looked like the consortium had been ignored by the administrator as it was still only receiving vital information to help prepare its bid after offers had closed.
“Korda Mentha wants a simple bid and the banks want the matter dealt with quickly,” she said.
“I admit we need more time to put together our bid, but the banks want an unconditional offer.”
Despite the setback with saving the almond schemes for investors, Bezencon said the consortium was still working on putting in a bid for the Timbercorp tree schemes that will be sold by Korda Mentha.
And if the almond orchards are sold, Bezencon said the consortium would still work to achieve the best outcome for investors.
“We will continue to fight for the best apportionment of monies received from the sale,” she said.
“But we will be hit with Korda Mentha's costs for the sale, and that will diminish returns for the investors.”
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