By Clyde Mooney – editor Australian Hotelier
The newly-formed pub group AG&E has gone into voluntary administration following its recent failed Initial Public Offering.
Having accumulated debts in the lead-up to the IPO two weeks ago, the shell company that stood to acquire five top gaming venues is now in the hands of administrators KordaMentha.
Speaking to TheShout, KordaMentha’s Cliffe Rocke, who is managing the failed entity in conjunction with colleagues John Bumbak and David Winterbottom, said AG&E incurred debts in planning and advisory services prior to the IPO.
Rocke said the institutional investors that float hoped to attract did not submit bids on the shares, and it remains to be seen if the shell company will continue to exist.
“The objective of voluntary administration is to see if the company can continue – or indeed become – a going concern. As voluntary administrators we will explore those opportunities, to see if that can be achieved,” said Rocke.
The creators behind AG&E (Australian Gaming & Entertainment) had planned to purchase a high-profile gaming portfolio with the $80 million they were hoping to raise through the float.
KordaMentha is still determining the priority of creditors.