Financial advisory firm Robe Australia has begun rebuilding its operations after a tumultuous year that ended with the firm selling all of its operating businesses.
The listed financial services firm has sold its stockbroking arm Tolhurst Limited, its wealth management business Community and Corporate Financial Services and completed the management buyout of corporate advisory activities undertaken by Tolhurst InterFinancial Limited.
“As Robe Australia Limited has effectively sold all its operating businesses during the 2009 financial year, the operational and management activities of the company have effectively been outsourced and there are no other employees,” Robe Australia acting chairman Peter Reilly said.
“Since the end of the 2009 financial year, the company has continued to realise its assets, meet its creditor obligations and effectively clean up the company’s shell with the aspiration to identify a back door listing in consultation with its advisors over the next six to 12 months.
“In our 30 June report, we noted contingent assets of approximately $1 million and are pleased to advise that of these assets $230,000 have already been recovered.”
Before Robe realises its options for a back door listing, Reilly said there are a number of legacy issues the firm continues to face. These include a rising claims history from the previous stockbroking and financial planning business undertaken by the group, resolution of a number of contentious creditors and recovery of outstanding debtors.
“Notwithstanding that this takes some time to complete, we are confident that the Robe Australia Limited shell can be utilised for a future backdoor listing,” Reilly said.
For the year ended 30 June 2009, the Robe board wrote off all intangible assets totalling about $43.3 million and reported a loss of about $41.1 million.
