Allied Farmers in dispute with asset buyer

Allied Farmers said the sale of former Hanover receivables did not go through as expected by March 31 and it is now in dispute with the buyer.

The sale agreement was entered into by subsidiary Allied Farmers Investments last September.

The purchaser of the receivable has written to Allied Farmers regarding the payment delay, alleging that Allied Farmers was in default under a $7 million guarantee in respect of repayment of the loan.

Allied Farmers did not accept that it is bound by a guarantee as alleged, and was taking legal advice.

There is no impact on the carrying value of the loan asset.

NZPA

Comments from our readers

No comments yet

Add your comment:

Your name:
Your email:	Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Anti-spam verification:

Type the text you see in the image into the field below. You are asked to do this in order to verify that this enquiry is not being performed by an automated process.

Related News:

Fonterra appoints permanent COO
Manawa Energy FY24 Annual Results & Webcast Details
Seeka Provides the Results of Meeting - ASM
April 19th Morning Report
PGW Guidance Update
CNU - Commerce Commission releases draft expenditure decision
Spark announces departure of Product Director
TGG - T&G appoints new Director
April 18th Morning Report
SKC - APPOINTMENT OF CHIEF EXECUTIVE OFFICER