Thursday 15 December 2016 by Company updates

Emeco – three way merger unsuccessful

Emeco has announced its creditors voted to reject the Creditors’ Scheme

On 14 December 2016, Emeco announced that the company’s creditors voted to reject the Creditors’ Scheme and the resolution did not pass.  By value, only 65.23% of creditors voted in favour of the Creditors’ Scheme, which was lower than the 75% required to pass the resolution.

Peter Richards, Emeco’s Chairman said in a statement:

 “Together with my fellow directors, we are disappointed that creditors have not approved the transaction which the Independent Expert concluded was fair and reasonable and in the best interest of Emeco’s shareholders.”

Richards added,


“The company, its board and its management team remain committed to strengthening Emeco’s balance sheet to provide the company with the financial platform to capture growth opportunities.”

For Emeco’s bondholders, it confirmed that it has been, and remains a going concern with sufficient near term liquidity, and is able to pay its debts as they become due.