Creditors have voted to save Hills Limited (ASX: HIL) from falling into the hands of liquidators after agreeing to a deed of company arrangement (DOCA) as administrators run their eyes over offers to buy the business as a going concern.
In an announcement to the ASX today, administrators Sule Arnautovic and John Vouris of Hall Chadwick Chartered Accountants revealed that the company’s creditors yesterday voted to accept the DOCA proposed by Starplex International, a decision that leaves nothing for existing Hills shareholders.
The DOCA was accepted by creditors after they were told they would receive 68.39c in the dollar for the debts owed to them.
Starplex is a related party of the company’s largest unsecured creditor, Stellar Vision Operations, with the DOCA set to hand control of the business to Starplex.
Hills, which no longer has any association with the clothes hoist that became a backyard staple in suburbia during the post-war era, is a provider B2B solutions in the building technologies sector and it was placed into administration in June.
The administration comes on the heels of a $5.48 million loss, plus costs, in the Court of Appeal by Hills’ health division the previous following a long-standing legal…
