Powered by MOMENTUM MEDIA
Powered by MOMENTUM MEDIA
subscribe to our newsletter

Asset finance lender welcomes sale to Cerberus

Equipment finance lender Axsesstoday has completed a $260-million sale of most of its business and subsidiaries to an affiliate of Cerberus Capital Management LP.

Axsesstoday, which provides equipment finance solutions to businesses in the transport, hospitality and other industries, went into voluntary administration in April of this year after senior lenders said they were unable to continue supporting the business with ongoing waivers of breaches of loan terms.

Since then, the company has been reviewing offers for the sale of its business and agreed to enter into an arrangements with an affiliate of Cerberus Capital Management LP in July of this year.

Advertisement
Advertisement

It has now been confirmed that the business and assets of several subsidiaries of Axsesstoday Ltd – Axsesstoday Operations Pty Ltd (Operations); A.C.N. 603 303 126 Pty Ltd (ACN603); and Axsesstoday Retail Pty Ltd – have now been acquired by Cerberus affiliate Promontoria Holding 304 BV.

The $259.7-million deal has reportedly allowed for all secured lenders to be repaid in full and enables the lender to exit from voluntary administration.

It has also resulted in over $18 million being made available towards the payment to unsecured creditors. 

All current employees are being offered ongoing employment at Axsesstoday, which will operate as a privately held company and joint Cerberus’ global portfolio of companies, which includes Bluestone Mortgages Asia Pacific (Aus and NZ).

Under the terms of the arrangement, which was approved by creditors on 30 August 2019 and completed on 20 September, the ASX-listed company Axsesstoday Ltd (AXL) will be sold separately.

AXL is now a listed shell company following completion of the transaction and will remain under the control of the administrators until the sale of AXL is completed.

In a statement, Axsesstoday said that the transaction will enable the SME lender to “work in partnership with Cerberus to strengthen its business and identify strategic opportunities to expand across Australia”.

Axsesstoday’s chief operating officer, Konrad Pels, commented: “This is an exciting milestone for all of us at Axsesstoday.

“With Cerberus’ support, we will have access to resources and expertise to strengthen our robust platform, elevate our portfolio of financing solutions and capitalise on growth opportunities. 

“The acquisition means we have been able to save almost 50 jobs in our Australian office, and we now look forward to beginning this new chapter for Axsesstoday and continuing to be a trusted partner to businesses across Australia. 

“Axsesstoday is in a prime position to continue to offer a compelling finance solution to SME customers across Australia,” he added.

Lee Millstein, president of Cerberus Global Investments, welcomed the completion of the sale, stating: “We look forward to supporting the company as it grows its capabilities and continues to deliver tailored financing solutions to meet the needs of Australian businesses.” 

Given the successful completion of the sale, the administrators (Deloitte Restructuring Services), will resign.

Joint administrator Vaughan Strawbridge from Deloitte Restructuring Services noted the sale completion, stating: “This is an outstanding result and could not have been achieved without the understanding and continued support of employees, funders, the broker network and customers. 

“I am particularly pleased for the employees, whose jobs have been preserved.”

[Related: SME lender goes into voluntary administration]

Asset finance lender welcomes sale to Cerberus
mortgagebusiness

Annie Kane

Annie Kane is the editor of Mortgage Business.

As well as writing news and features on the Australian mortgage market, financial regulation, fintechs and the wider lending market – Annie is also a regular contributor to the Mortgage Business Uncut podcast.

Before joining Momentum Media in 2016, Annie wrote for a range of business and consumer titles, including The Guardian (Australia), BBC Music Magazine, Elle (Australia), BBC Countryfile, BBC Homes & Antiques, and Resource magazine.

Contact Annie at: This email address is being protected from spambots. You need JavaScript enabled to view it.

 

Latest News

 A big four bank has announced that its cash earnings will be hit by a further $341 million in remediation costs. ...

The residential property market remains “overvalued” and is approaching a tipping point, an economist has said, despite recent signs of ...

The debate surrounding the efficacy of stamp duty has resurfaced, with the NSW government launching a new review into its revenue system.  ...

FROM THE WEB
podcast

LATEST PODCAST: Transparency around rate cuts

Do you think the mortgage market will see more consolidation this year?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.