South Canterbury Finance (Helicopters NZ owner) in receivership
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South Canterbury Finance (Helicopters NZ owner) in receivership
Not really sure how to interpret this story. I thought VIH owned part of the company as well? Anyone got any ideas on what this means in real terms for Helicopters NZ?
Helicopter firm flies free of NZ lender crisis
Wednesday, 01 September 2010 15:02 Jeremy Mullins
HELICOPTERS Cambodia said business continued as usual at the firm yesterday after the New Zealand government launched a US$1.26 billion debt bailout of its sole investor, South Canterbury Finance.
New Zealand announced it would cover lender South Canterbury Finance’s debt, owed to 35,000 depositors, after the company failed to find new capital in time for an August 31 deadline and went into receivership.
According to a South Canterbury statement, it is the sole investor in Helicopters New Zealand.
In turn, Helicopters New Zealand is the 100 percent owner of Helicopters Cambodia, according to the subsidiary’s general manager, Kevin Treloar.
Despite the investor’s collapse, he remained upbeat about Helicopters Cambodia, along with the future of Canterbury subsidiaries such as Scales Corporation and Dairy Holdings.
“These companies are merely non-charging investments of South Canterbury; therefore are not affected by the administrative measures that are now in place,” he said yesterday. South Canterbury’s subsidiaries – including Helicopters Cambodia – would continue to operate as usual, he said.
Helicopters Cambodia was the first commercial helicopter service to operate in the Kingdom in 1998 and offers flights for tourism, mining exploration operations and concession-monitoring purposes, according to its website.
Helicopters New Zealand turned a NZ$16.2 million (US$11.3 million) profit after tax in the year ending June 30, 2009, according to a release from South Canterbury earlier this year.
New Zealand Prime Minister John Key said yesterday that swift government action was needed to limit fallout from the collapse on his country’s wider economy.
The governmental bailout funds will not go to directly to South Canterbury, which began as a rural lender in 1926, but in recent years diversified into more exotic investments.
Instead, they will be disbursed among the company’s receivers, who will distribute it to depositors and stockholders who would have otherwise lost assets.
Helicopter firm flies free of NZ lender crisis
Wednesday, 01 September 2010 15:02 Jeremy Mullins
HELICOPTERS Cambodia said business continued as usual at the firm yesterday after the New Zealand government launched a US$1.26 billion debt bailout of its sole investor, South Canterbury Finance.
New Zealand announced it would cover lender South Canterbury Finance’s debt, owed to 35,000 depositors, after the company failed to find new capital in time for an August 31 deadline and went into receivership.
According to a South Canterbury statement, it is the sole investor in Helicopters New Zealand.
In turn, Helicopters New Zealand is the 100 percent owner of Helicopters Cambodia, according to the subsidiary’s general manager, Kevin Treloar.
Despite the investor’s collapse, he remained upbeat about Helicopters Cambodia, along with the future of Canterbury subsidiaries such as Scales Corporation and Dairy Holdings.
“These companies are merely non-charging investments of South Canterbury; therefore are not affected by the administrative measures that are now in place,” he said yesterday. South Canterbury’s subsidiaries – including Helicopters Cambodia – would continue to operate as usual, he said.
Helicopters Cambodia was the first commercial helicopter service to operate in the Kingdom in 1998 and offers flights for tourism, mining exploration operations and concession-monitoring purposes, according to its website.
Helicopters New Zealand turned a NZ$16.2 million (US$11.3 million) profit after tax in the year ending June 30, 2009, according to a release from South Canterbury earlier this year.
New Zealand Prime Minister John Key said yesterday that swift government action was needed to limit fallout from the collapse on his country’s wider economy.
The governmental bailout funds will not go to directly to South Canterbury, which began as a rural lender in 1926, but in recent years diversified into more exotic investments.
Instead, they will be disbursed among the company’s receivers, who will distribute it to depositors and stockholders who would have otherwise lost assets.
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Business as normal for HNZ according to Dennis Laird. But, I'm told they're effectively for sale as of yesterday.
TK
TK
Nelson-based Helicopters New Zealand is not part of the South Canterbury Finance (SCF) receivership and is "trading comfortably", group general manger Denis Laird said today.
Receivers were called into SCF yesterday and the Government is paying $1.6 billion to bail out SCF's depositors.
Mr Laird said the SCF receivership was "a great tragedy at the end of the day, with huge implications for the whole country".
However, at HCNZ, which is owned by SCF, it was business as usual.
"We're not actually wrapped up in the receivership. We're not a charging subsidiary.
"We're comfortably trading and there's no risk to the business. We expect to be able to continue to trade as things unfold for South Canterbury Finance."
Mr Hubbard's involvement with HCNZ went back to the company's formation in 1955, Mr Laird said. Mr Hubbard had put HCNZ as an asset into South Canterbury Finance earlier this year to increase SCF's equity.
HCNZ is one of the region's greatest business success stories, with more than 200 staff, about 50 helicopters, and contracts around New Zealand and the world, including in Antarctica, Australia and Cambodia.
Staff had been assured they should hold no fears for the company's future success, Mr Laird said.
The South Canterbury Finance Tasman regional office in Nelson's Montgomery Square was open for business today, but general manager Gene Cooper said the receivers had advised that he was not permitted to comment.
The Nelson business traded as Tasman Bay Finance until October 2008, when SCF rebranded its 11 subsidiaries.
Its Nelson business involves loans to many industries including tourism and small businesses, with rural clients a smaller part of its portfolio.
The SCF receivership fallout may also affect an annual Nelson event. South Canterbury Finance is the main sponsor of Nelson's Collingwood St Trolley Derby.
Nelson City Council festival producer Sophie Kelly said they had not spoken with South Canterbury yet, but would get in contact with them in the near future. It would then decide how to deal with the event.
She said organisers were sorry to hear of the financial organisation's troubles as it had been a great sponsor.
Corporate farmer Dairy Holdings Ltd, owned one-third by the failed lender, says it remains profitable and confident about the future of its business.
DHL general manager Colin Glass said the receivership of SCF has had no effect on the day-to-day operations of his company, which owns 58 dairy farms and 14 grazing blocks in the South Island, including six in Nelson worth more than $600 million. Nor had it altered its positive long-term view of the industry, he said.
Receivers were called into SCF yesterday and the Government is paying $1.6 billion to bail out SCF's depositors.
Mr Laird said the SCF receivership was "a great tragedy at the end of the day, with huge implications for the whole country".
However, at HCNZ, which is owned by SCF, it was business as usual.
"We're not actually wrapped up in the receivership. We're not a charging subsidiary.
"We're comfortably trading and there's no risk to the business. We expect to be able to continue to trade as things unfold for South Canterbury Finance."
Mr Hubbard's involvement with HCNZ went back to the company's formation in 1955, Mr Laird said. Mr Hubbard had put HCNZ as an asset into South Canterbury Finance earlier this year to increase SCF's equity.
HCNZ is one of the region's greatest business success stories, with more than 200 staff, about 50 helicopters, and contracts around New Zealand and the world, including in Antarctica, Australia and Cambodia.
Staff had been assured they should hold no fears for the company's future success, Mr Laird said.
The South Canterbury Finance Tasman regional office in Nelson's Montgomery Square was open for business today, but general manager Gene Cooper said the receivers had advised that he was not permitted to comment.
The Nelson business traded as Tasman Bay Finance until October 2008, when SCF rebranded its 11 subsidiaries.
Its Nelson business involves loans to many industries including tourism and small businesses, with rural clients a smaller part of its portfolio.
The SCF receivership fallout may also affect an annual Nelson event. South Canterbury Finance is the main sponsor of Nelson's Collingwood St Trolley Derby.
Nelson City Council festival producer Sophie Kelly said they had not spoken with South Canterbury yet, but would get in contact with them in the near future. It would then decide how to deal with the event.
She said organisers were sorry to hear of the financial organisation's troubles as it had been a great sponsor.
Corporate farmer Dairy Holdings Ltd, owned one-third by the failed lender, says it remains profitable and confident about the future of its business.
DHL general manager Colin Glass said the receivership of SCF has had no effect on the day-to-day operations of his company, which owns 58 dairy farms and 14 grazing blocks in the South Island, including six in Nelson worth more than $600 million. Nor had it altered its positive long-term view of the industry, he said.
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Shame that all this happened as there are a LOT of operators around NZ who have been financed by SCF. 
I spoke to a couple of companies yesterday or said that their main concern was if there was going to be any company left in NZ who would finances helo purchases for some of the smaller operators as SCF seemed to be the main player in the market.
I spoke to a couple of companies yesterday or said that their main concern was if there was going to be any company left in NZ who would finances helo purchases for some of the smaller operators as SCF seemed to be the main player in the market.
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The receivers of South Canterbury Finance have appointed Goldman Sachs & Partners New Zealand to manage the sale of two of the big finance company's assets.
Goldman Sachs & Partners New Zealand Limited will be advisers for the sale of 100 percent of Helicopters New Zealand (HNZ) and a majority shareholding in Scales Corporation Limited (Scales).
Both HNZ and Scales are separate from the core finance business of the SCF Group and are not in receivership.These companies are leaders in their industries.
Receiver Kerryn Downey of McGrathNicol said he was very pleased to have such a reputable and experienced investment bank on board.
HNZ is a leading provider of helicopter services and operates in New Zealand, Australia, South East Asia and Antarctica.
HNZ was founded in 1955 with one helicopter and has grown significantly, now operating a fleet of 43 helicopters.
stuff.co.nz
Goldman Sachs & Partners New Zealand Limited will be advisers for the sale of 100 percent of Helicopters New Zealand (HNZ) and a majority shareholding in Scales Corporation Limited (Scales).
Both HNZ and Scales are separate from the core finance business of the SCF Group and are not in receivership.These companies are leaders in their industries.
Receiver Kerryn Downey of McGrathNicol said he was very pleased to have such a reputable and experienced investment bank on board.
HNZ is a leading provider of helicopter services and operates in New Zealand, Australia, South East Asia and Antarctica.
HNZ was founded in 1955 with one helicopter and has grown significantly, now operating a fleet of 43 helicopters.
stuff.co.nz
maths
curious, HNZ made a 16.2 profit from 90m turnover, on about ?100m? assets, NZD
PHII makes about... 24 from 450m turnover, on about 800-300=500m assets.... USD
Same industry...
Last profit statement by SCF for 08 was originally +80m which turned out in reality to be -160m, so the parents of HNZ apparently have some problems with basic maths, as shown in their assumption of handing over HNZ and 1/3rd of Dairy Holdings to SCF to "recapitalise" them by 162m actually ends up being... 11.2m.
What is up with NZ accounting?
PHII makes about... 24 from 450m turnover, on about 800-300=500m assets.... USD
Same industry...
Last profit statement by SCF for 08 was originally +80m which turned out in reality to be -160m, so the parents of HNZ apparently have some problems with basic maths, as shown in their assumption of handing over HNZ and 1/3rd of Dairy Holdings to SCF to "recapitalise" them by 162m actually ends up being... 11.2m.
What is up with NZ accounting?
