Tongaat Hulett Limited Business Rescue Plan Adopted
Tongaat Hulett Limited Business Rescue Plan Adopted. The business rescue practitioners (BRPs) of Tongaat Hulett Limited (THL), have announced that creditors voted in favour of the Vision Parties (Vision) business rescue plan. 91.91% of accepted creditor claims exercised their right to vote. 98.51% of those present and voting voted in favour and 1.49% of those present and voting voted against.
The BRPs said: “Today finally provides some certainty to stakeholders on the way forward. This is positive news for employees, the businesses across all geographies and THL’s stakeholders. While there is still much to be done, we are celebrating the achievement of a key milestone. We would like to express our gratitude to employees, the lender group, the IDC, SASA, creditors, Vision and the various stakeholders who have walked this journey with THL during the process.”
“With the continued support of the employees, the suppliers, the IDC and Vision, we will work together towards achieving substantial implementation of the now approved and adopted business rescue plan as efficiently and as quickly as possible. Substantial implementation will be the new beginning for a company that has been in existence for more than 100 years and has a significant impact on the economy of KwaZulu-Natal and the country.” the BRPs continued.
In the Affected Persons’ meeting, Vision confirmed its belief that THL is a leading sugar and animal feeds business with a good asset base across Southern Africa. Vision is committed to keeping the group together and has developed a strategy entailing five strategic pillars that will be implemented to create a sustainable business.
The BRPs will now proceed with the implementation of the adopted plan. THL can only exit business rescue once the plan has been substantially implemented (which could take several months) or alternatively if it is no longer financially distressed. The decision to terminate business rescue lies with the BRPs or alternatively the High Court on application.
