Fire sale of toxic loans keeps Allied Farmers ticking for now

Tue, 05 Mar 2013

By Paul McBeth March 5 (BusinessDesk) - Allied Farmers has kept itself alive for now by selling a series of toxic loans for as much as $600,000, after facing a call on debt that had to be satisfied yesterday. The Hawera-based firm sold various loan assets with zero book value to a confidential third party for an immediate payment of $100,000 and up to a further $500,000, it said in a statement. The top-ups depend on outcomes that are still unknown, and the net proceeds will be used to reduce debt. Allied was in talks with various parties y...

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