Field Solutions Holdings (ASX:FSG) et al. - Voluntary Administration

Field Solutions Holdings (ASX:FSG) et al., a group of regional telco companies that provide, build and operate broadband networks across rural and remote parts of Australia, entered voluntary administration on 19 February. 

Daniel Juratowitch and Barry Wight of Cor Cordis were appointed voluntary administrators, while Rob Smith and Matthew Hutton of McGrathNicol were appointed receivers.

After triggering technical defaults and seeking forbearance agreements from its senior lenders, the company has been attempting a capital raise of between $6 million to $8.6 million. It has also been conducting a strategic review of business operations since January with the stated objective of improving efficiency and focusing on higher-margin products.

Last week, the company announced that it had sold its mining unit to PIT Mining for nearly $5 million, $2 million of which is subject to performance conditions. PIT Mining has reportedly taken over about 20 of the company’s 220 staff.