Kagara Crashes On Failing To Meet ANZ Debt Obligations
Embattled miner Kagara has gone into voluntary administration after failing to meet its debt obligations, putting up to 325 jobs at risk, The Australian. The Perth company announced yesterday it had appointed Taylor Woodings as voluntary administrator after suspending its shares from trading last week because it had failed to refinance a $40 million debt facility with ANZ. Administrator Michael Ryan said the administration process would provide the company and stakeholders with breathing space and protection to make decisions about the future in a considered way. In July, before its mining operations were hit by the rise in the dollar and sharp falls in zinc and copper prices, Kagara was a $548m company. Its shares last traded at 12c and its market capitalisation is now about $96m. Because of its liquidity problem, Mr Ryan said, Kagara had decided it could not trade other than under the protection of voluntary administration. Read more.