MCALEESE WOES CONTINUE

A major shareholder of the struggling McAleese group is campaigning for a spill of the company board following the recent announcement recapitalisation plans.

The Western Australian reported a shareholder group led by director Gilberto Maggiolo, and privately owned Havenfresh have lodged a spill motion to eradicate the remaining members of the McAleese board, including founder Mark Rowsthorn.

McAleese committed to a $112 million recapitalisation plan in June to assist in handling the company’s $200 million in debt.

The deal between financers and SC Lowy Primary investments would see McAleese delisted from the Australian Stock exchange and seek a new owner for the Cootes Transport arm.

Existing shareholders would be diluted by a $26 million recapitalisation, underwritten by Rowsthorn, and SC Lowy would acquire its senior debt and emerge with a stake of about 35 per cent of the company

The spill notice lodged by Havenfresh said the group was “concerned about the proposed refinancing proposal” and did not believe the transaction was in the best interest of McAleese’s shareholders, The West Australian reported.

McAleese, meanwhile, said its board was “considering its obligations with respect to the notice”, but said it believed the refinancing agreement was “legally binding on all parties to it”.