The voluntary administrators of Western Australia’s Palandri Wine Group have announced the sale of certain Palandri Wine Group assets.
The assets have been sold to the privately owned Global Wine Holdings (GWH) following a sale process that involved 14 parties expressing interest in the assets.
Deloitte partner Gary Doran, who along with Neil Cussen and John Greig was appointed voluntary administrators for Palandri, said the sale was the best outcome for the winemaker’s creditors.
“The Administrators believe the sale of the business as a going concern was the optimal result for all Palandri stakeholders,” Doran said. “Global Wine Holdings bid was selected because it provided the highest return to secured creditors, pays outstanding employee entitlements, contributes cash and other assets, funds the maintenance to the vineyards for 12 months and provides a potential exit for the growers.”
Doran said GWH had also acquired the bulk of Palandri’s 2008 vintage.
“The transaction results in substantial continuation of business, which will mean ongoing employment and other business opportunities for the Margaret River region,” Doran said.
Global Wine Holdings is a newly formed private company controlled by Xibo Ma — a Chinese entrepreneur who was formerly the second largest shareholder of Palandri Ltd and has considerable industry interests in China.