May Wang creditors accept 2c in the dollar

Monday 28th June 2010

Creditors of May Wang, the businesswomen who has fronted a plan to buy $1.5 billion of dairy assets including the Crafar farms, voted to accept a repayment scheme that will allow her to avoid bankruptcy.

The creditors owed some $22.2 million, were offered $500,000 as settlement Wang didn’t disclose terms of the final settlement, though it is reportedly for as little as 2 cents in the dollar.

“I am pleased and relieved that the creditors have seen fit to accept my proposal,” she said in a statement issued by spokesman Bill Ralston. Creditors will get “as much of their money back as I can afford and have been able to borrow.”

Wang isn’t quite out of the woods as the trustee for the scheme will now seek High Court approval, due in a next few weeks. The debts came mostly from Wang’s failed Dynasty group of companies.

She said settlement with creditors will allow her to focus on her work with UBNZ Assets Holdings Ltd. to acquire dairy farms and related assets.

Wang was forced to fight to avoid being declared bankrupt when Westpac Banking Corp. gained summary judgment against her for $620,000.

(BusinessWire)

15:50:32

Businesswire.co.nz

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