ASIC adjourns AGM of Bitcoin ATM aspirer Stargroup, as Receivers need time to complete sale process
The Australian securities regulator has agreed that the AGM is adjourned until the earlier of May 30, 2018, or two months after the company exits administration.
There is an update today regarding the administration process of Australian financial technology company Stargroup Ltd (ASX:STL), which is known for its efforts to develop Bitcoin ATMs.
The Administrators of the company said today, in a filing with ASX, that the Australian Securities and Investments Commission (ASIC) has approved their application for a rescheduling of the company’s annual general meeting (AGM). The meeting is now adjourned until the earlier of May 30, 2018, or two months after the company exits administration.
The adjournment is necessary for the facilitation of the restructuring process for the company. This includes allowing the Receivers and Managers to finalize the current sale process being undertaken.
Let’s recall that the administration covers Stargroup Ltd, Star Payment Systems Pty Ltd, Stargroup Investments Limited, and Star ATM Pty Ltd.
Securities in Stargroup have been suspended from official quotation on ASX since October 19, 2017, as the company said an announcement on its debt restructuring was due. About a month later, on November 20, 2017, the company announced that it appointed Richard Tucker and John Bumbak of KordaMentha Restructuring as Receivers and Managers. The Receivers and Managers have advised that they intend to pursue a “business as usual” strategy and that they start an immediate process to seek expressions of interest to sell or recapitalize the business.
They have already managed to secure a revised agreement between Stargroup and Goldfields Money Limited. Under the new agreement, Goldfields will continue to provide bailment services to Stargroup based on a reduction in the facility limit. Maintaining cash in the ATM network operated by Stargroup Limited is seen as vital for maintaining the business.
In early December 2017, Stargroup announced that Mr Todd Zani had stepped down from his role as Chief Executive Officer of the company. Mr Zani is no longer employed by the company, Stargroup said back in December. He will not work-out his notice period.
