On 12 February 2019

Today, the voluntary administrators, Simon Cathro, Chris Cook, and Ivan Glavas of Worrells Solvency & Forensic Accountants held the first meeting of creditors.

The first meeting was held simultaneously across four locations: Sydney, Brisbane, Melbourne, and Perth at 2.30pm AEDT and concluded at 3.02pm AEDT. Only a few creditors and proxy-holders attended the meeting, with the majority of votes conducted on voting papers.

The meeting notice lodged with the Australian Securities & Investments Commission outlined two agenda items for creditors to vote on, which are statutory items under the Corporations Act 2001.

Creditors of Napoleon Perdis Cosmetics Pty Ltd decided to appoint a committee of inspection under the first agenda item, which will comprise of representatives from three separate creditor entities. The second agenda item was not tabled, due to creditors not electing to nominate new administrators, and therefore the current administrators are retained.

Mr Cathro said, “A committee of inspection will benefit all creditors to the administration so that the process to make certain decisions and to call meetings of creditors can occur more easily and at a lesser expense to the administration”.

“Creditors at each meeting were issued a full report to creditors outlining the company’s position pre-appointment and post-restructuring to date. Given Worrells grant creditors online access to twice daily updates on creditor proofs of debt, debtors collection action etc., those creditors at the meeting were in a well-informed position to cast their votes.”

“Now that the first meeting of creditors is held, and after the expression of interest campaign closes, we then intend on applying to court to extend the convening period for the second meeting of creditors extended to three months.”

It is at the second meeting that creditors determine the future of a company under a voluntary administration appointment.

“The expression of interest campaign is doing well, with the campaign running until close of business this Friday, 15 February. Given the success of the trade on and support of trade creditors, the buyer/investors negotiations inherently demand more time for due diligence and satisfaction.”

“Meanwhile, we are ordering more Napoleon Perdis stock to meet current and future demand, and our partnership with Priceline is thriving.”

Last week, Worrells advised that all existing, valid Napoleon Perdis gift cards and e-vouchers will be honoured and redeemable both online and at trading Napoleon Perdis stores. Those sales in conjunction with increased traffic through the now right-sized stores have increased revenue and customer support.

Worrells has 27 offices nationally and 29 partners, across Qld, NSW, ACT, Vic, SA, and WA. Worrells has been providing solvency management, insolvency administration, and forensic investigation services for over 45 years.

—ENDS—

Contact:
Simon Cathro
Partner, Worrells Sydney
simon.cathro@worrells.net.au

Simon Cathro

Simon joined Worrells Sydney in November 2015 as a Partner of the firm. Simon has over 21 years of insolvency and restructuring experience specialising in, insolvency reconstructions, corporate structure design, investigating accountant reports and expert witness investigations.

T: (02) 9249 1208 E: Simon.Cathro@worrells.net.au

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