Bloomberg News

Tinkler’s Aston Metals Placed in Receivership by Madison Pacific

September 03, 2013

Aston Metals Ltd., a mining exploration company owned by Nathan Tinkler, was placed in receivership as the latest piece of the former billionaire’s empire in Australia to be offered for sale to repay creditors.

John Park and Quentin Olde of FTI Consulting Inc. (FCN:US) were appointed as receivers in Australia, according to a statement from the West Palm Beach, Florida-based company (FCN:US). Madison Pacific Trust Ltd., representing funds that hold Aston notes, named Park and Olde, according to an e-mail from FTI. Tim Allerton, a spokesman for Tinkler, didn’t respond to a request for comment left on his voice mail.

Tinkler has been battling creditors since his A$5.3 billion ($4.8 billion) takeover bid for Whitehaven Coal Ltd. (WHC) in August last year failed. Aston Metals has properties in Queensland, Australia, with five projects, according to FTI.

“Aston Metals and Mr. Tinkler have received a number of notices over the previous 30 days requesting payment of the debt as per the rights of the secured creditor,” FTI said in the e-mail. “This would not be a surprise for Aston Metals or Mr. Tinkler.”

Under Australian law, secured creditors can force a company into receivership without a court order and take control of some or all of the company’s assets, according to the Australian Securities and Investments Commission. The receiver’s role is then to collect and sell enough of the assets to repay the debt owed to the secured creditor.

Madison Pacific is a Hong Kong trust company described on its website as an independent provider of trustee and escrow services.

Tinkler sold his stake in Whitehaven to Farallon Capital Management LLC in June. He also agreed to pay A$12 million in June to settle a dispute with Blackwood Corp., which sought to freeze his assets over a failed share purchase.

To contact the reporter on this story: Joe Schneider in Sydney at jschneider5@bloomberg.net

To contact the editor responsible for this story: Douglas Wong at dwong19@bloomberg.net


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  • FCN
    (FTI Consulting Inc)
    • $36.66 USD
    • -0.60
    • -1.64%
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