Geon debts at $110m and counting: administrators

PPB partner Daniel Walley told ProPrint that Australian trade creditors had so far claimed $16 million of debts – and that the figure was likely to rise.

He also said that owners KKR and Allegro were owed about $90 million, with about half of that secured by non-circulating assets such as property and equipment.

Walley also estimated that the 1,100 staff on Geon's books might be owed as much as $20 million.

Geon has more than 400 creditors. The first creditors meeting was held in Sydney yesterday.

"The meeting proceeded as well as could be expected. Obviously, the trade creditors feel they've been burned in this and are potentially facing a loss. It was a good forum for them to air their position," he said.

Walley said creditors were likely to get a higher return if Geon was able to sell its businesses rather than be forced to liquidate.

One attendee at yesterday's meeting said he came away unfulfilled, because PPB had to refer "every hard question" to receivers McGrath Nicol, who did not attend.

The next creditors meeting is scheduled for 27 March.

[Related: Ups and downs of Geon]

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