AFG - Allco Finance Group

[hsv2001]

anybody know of any reason the share price would jump by 80% today on no news?

This is such a strange time in the market, look at BNB :S

 

[prana]

covering shorts is my bets guess

Although BNB is in a different boat, the fate of this is tied to liquidating assets, unlike BNB.

 

[prawn_86]

Voluntary Administrators appointed today.

I read an interesting article last week (cant find it now), predicting this would happen soon, because it has now been X months since the bank re-negotiated the debt with them so that the bank debt ranks higher than note holders, whereas before this week it didn't.

Dodgy...

 

[cbacamden]

The above is incorrect - please refer to the allco website to confirm. Note holders still rank with the banks

NOTE TO ANY OTHER NOTE HOLDERS - YOU MUST LODGE YOUR NOTE HOLDING WITH THE ADMINISTRATOR WITHIN THE NEXT WEEK TO BE IN LINE FOR ANY POSSIBLE MONEY. DONT DELAY

 

[alphaman]

The above is incorrect - please refer to the allco website to confirm. Note holders still rank with the banks

You mean this?

"As the terms of the Allco Notes themselves state, the Allco Notes are subordinated in right of payment of interest and principal to any debts of Allco (including the debt owed to Allco's banks)."

 

[cutz]

Hi Guys,

So is this stock officially buried? Now that the cleaners have taken over i was just wondering if i can confidently add it to my spreadshead as a total loss, although it still showing up against my comsec holdings and of course i can't get rid of it.

I'm just in the process of transferring holdings to another brokerage therefore i'm matching +/- as i go.

 

[basilio]

Resurrecting the dead here - in memory of the death of Allco founder David Coe. He died of a heart attack in Aspen.

Out of curiosity I goggled David to refresh my memory of him and Allco. It was after all one of the biggest busts of the GFC and caused much pain.

Paul Barry wrote a very searching analysis of Coe and Co. I think its worth a read.

Coe & Co.
Paul Barry

The Monthly | The Monthly Essays | May 2010 | Add a Comment
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David Coe is one of the smartest financiers in Australia. And by most accounts he’s a lovely guy. He’s friendly and charming, fun to be with, and an all-round top bloke, or so they say. He’s also a benefactor of the arts and has given generously to charity, helping to raise millions of dollars for the Sydney Children’s Hospital.

Coe’s best mate, Gordon Fell, is just as bright and another paragon of virtue. The former Rhodes scholar, who made his millions selling property to super-fund investors, was a director of the Smith Family, chairman of Opera Australia and a trustee of Sydney Grammar School until his empire imploded in early 2008. “There’s no way he’s a shonk,” one of his advisers assured me.

So here’s the puzzle. How could these two world-class charmers be responsible for two of Australia’s biggest corporate disasters, in which almost $10 billion, belonging to shareholders and creditors, went down the gurgler? And how come they have hung on to tens of millions of dollars while the mums and dads who backed them lost everything? Come to think of it, why is that so often the story in the corporate world?

http://www.themonthly.com.au/monthly-essays-paul-barry-coe-co--2429

 

[AUSG]

Maurice and Blackburn is initiating a class action for AFG

Details can be found at this link