- Buddy Technologies (BUD) appoints Christopher Hill and David McGrath of FTI Consultants as receivers and managers of Buddy, pursuant to security held by Partners for Growth (PFG)
- Buddy says the appointment means the receivers are now in control of the company’s assets, shares in its subsidiaries, undertaking and operations
- The receivers have not been appointed to any of Buddy’s operating subsidiaries, which are the primary operating entities within the group
- PFG has provided Buddy with a limited funding facility to allow the group to continue to trade in the short term during the receivership period and the receivers will soon commence a process seeking offers for a sale or recapitalisation of the company
- BUD shares are suspended and last traded at 0.6 cents
Buddy Technologies (BUD) has appointed Christopher Hill and David McGrath of FTI Consultants as receivers and managers of Buddy, pursuant to security held by Partners for Growth (PFG).
Buddy said the appointment means the receivers are now in control of the company’s assets, shares in its subsidiaries, undertaking and operations.
The receivers have not been appointed to any of Buddy’s operating subsidiaries, which are the primary operating entities within the group.
PFG has indicated it does not currently plan to take any enforcement action against the subsidiaries.
PFG has provided Buddy with a limited funding facility to allow the group to continue to trade in the short term during the receivership period.
Buddy said the receivers intended drawing down against the facility as and when required and to provide those funds to its subsidiaries so they can meet day-to-day obligations.
In light of the PGF facility, Buddy said the receivers expected the subsidiaries would continue to operate in the immediate future.
The receivers will shortly commence a process seeking offers for a sale or recapitalisation of the group and anticipate indicative offers being sought from interested parties from early May 2022.
Buddy is an internet of things (IoT) and cloud-based technology company, which has a commercial and consumer business that trades under the LIFX brand.
LIFX sells smart lights reportedly used in nearly one million homes and the LIFX products are sold in about 100 countries, both directly and through partnerships with major retailers such as Amazon, Google and JB Hi-Fi.
BUD shares are suspended and last traded at 0.6 cents.