The Federal Court injunction that attempted to wind-up Reacon Australia has been adjourned allowing more time for the business to be restructured.
The wind-up order that was put forward by Reacon Australia creditors and heard in the Federal Court of Australia on Friday 11 April, has been adjourned to Friday 9 May.
The administrators for Reacon Australia and MMW3 Degrees, Cathro & Partners, told Sprinter they will now move forward with the usual next steps for a voluntary administration process.
“The adjournment will give the administrators time to continue their restructuring efforts and for a report to creditors to be issues on or around the 9th of May,” company administrator, Andrew Blundell from Cathro & Partners, told Sprinter.
“At that time creditors will be advised of any Deed of Company Arrangement proposal that has been put forward and they will be in a position to determine the future of the companies.”
Blundell has advised that information regarding the nature of the major creditors will be forthcoming over the coming days.
“Currently it is business as usual, the administrators are in a position where they are being supported and the employees are doing a great job under difficult circumstances.”
Cathro and Partners were appointed administrators Reacon Australia and MMW3 Degrees on Monday, the same firm that was also appointed to manage Starleaton when it was placed into voluntary administration,
It was confirmed yesterday that Sydney-based Westman Printing had purchased Reacon Group – the parent company of Reacon Australia and MMW3 Degrees.
Westman Printing – a company with 45 years of print manufacturing history – has been owned by Vik Gulati and his wife Manasa for the last 20 years.
Westman has a strong understanding of the Reacon business as it has been a supplier of services to the companies under administration for several years.
Gulati told Sprinter he has purchased the parent company with a view to restructuring the two businesses currently in voluntary administration that specialise as an omni-channel provider of mailing, marketing, and print services.
Gulati also confirmed he intends to retain the majority of the workforce of Reacon Australia and MMW3 Degrees under its leadership, with operations continuing on a “business as usual” basis during the voluntary administration process.
Gulati said the move, once completed, will bolster Westman’s portfolio, integrating Reacon’s advanced equipment – including the Fujifilm 1160CF acquired in 2024 – along with skilled talent and access to new markets.
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