JOHANNESBURG (Reuters) – The Ellerine furniture arm of failed South African lender Abil has received an offer of around 400 million rand ($36 million) for its Africabusiness, its administrator said on Monday.
“That 400 million is what we anticipate realising, is the amount of the indicative offer for the rest of Africa,” Leslie Matuson, one of the administrators in charge of Ellerine’s business rescue, told creditors.
Ellerine’s creditors are voting on Monday on whether to back a “business rescue plan” – which would see the company wound down over the next few months – or to immediately liquidate it.
Ellerine was forced into business rescue, which allows for temporary protection from creditors, after parent African Bank Investments (Abil) cut its funding earlier this year.
Abil was itself rescued by the central bank after being hit by waves of bad debt as its core market of low-income borrowers failed to repay their loans.
(US dollar = 11.2205 South African rand)
