30/03/2022 - 11:52

SRG, WBHO deal approved

30/03/2022 - 11:52

Bookmark

Save articles for future reference.

Creditors to WBHO Infrastructure have approved a deal to sell the business to SRG Global.

SRG, WBHO deal approved
WBHO Infrastructure had been working on upgrades to the Mitchell Freeway. Photo: Gabriel Oliveira

Creditors to WBHO Infrastructure have approved a deal to sell the business to SRG Global.

Administrators from Deloitte said the move was overwhelmingly supported at a creditors’ meeting today.

WBHO Infrastructure was caught in the collapse of Probuild, when the South African parent company Wilson Bayly Holmes-Ovcon withdrew its support for 18 subsidiaries.

West Perth-based WBHO Infrastructure lost almost $202 million on the Western Roads Upgrade in Melbourne, and has been proceeding with a claim against the Victorian state government and project designer Amey Consulting.

Business News has previously reported the SRG deal was worth about $15 million, with unsecured creditors likely to receive $11.7 million, pending contingent liability claims.

The transaction includes SRG assuming all continuing employee entitlements and fair market value for plant and equipment

“Achieving this sale at such speed, and to have it endorsed by creditors, is an excellent outcome in terms of jobs,” Deloitte turnaround and restructuring WA leader Matthew Donnelly said.

“Well-established in the industry, SRG Global has presented a compelling value proposition and, as the new owner of the business and assets, jobs are retained and suppliers and customers have certainty going forward.”

SRG Global managing director David Macgeorge said the ASX-listed company looked forward to integrating WBHO Infrastructure as seamlessly as possible and providing certainty for clients, suppliers, and employees.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

Subscription Options