Murray & Roberts said in a statement yesterday that it was not able to regain control of RUC Cementation Mining Contractors (RUC) in Australia and has begun to capacitate Cementation APAC – a subsidiary company established in Australia.
M&R had lost control of RUC after its holding company in Australia MRPL (Murray & Roberts Pty Ltd) went into voluntary administration in December.
The global engineering services group said in an update yesterday that at the resumed second creditors meeting of MRPL yesterday, a Deed of Company Arrangement (DOCA) as proposed by MRPL’s secured creditors (Sureties), was approved.
This Sureties DOCA preserves the option for a full sale or restructuring transaction to occur in the future, which could include any amended DOCA.
As a result of the Sureties DOCA having been accepted, M&R was no longer able to regain control of RUC.
CAPAC was recently established in Australia and was being developed by the group with the intention of providing engineering and contracting services to mining clients in the Asia-Pacific region.
M&R’s share price gained 2.34% to 70 cents yesterday morning. The price is well down from R6.40 a year ago.
BUSINESS REPORT