Positive outcome for former Geneva investors

Graham Miller, Managing Director of Covenant Trustee Company, has described yesterday’s repayment of the last outstanding principal of debenture stock by GFNZ (Formerly Geneva) as an outstanding achievement.

“The Board of Directors, and particularly David O’Connell, the Managing Director, are to be congratulated for their tenacious effort to ensure the Moratorium Plan agreed with Debenture Stock Holders and Note Holders finally delivered.  This could only succeed with support of shareholders, the board of directors, the management team, Bank of Scotland as the major debenture holder, Debenture Holders, Note Holders, external advisers and the trustee. This was a complex proposal and there were many sceptics who have questioned the moratorium option, and some vested interests actively sought to undermine the process, so it is extremely satisfying to have this outcome.

From Covenant Trustee Company’s point of view our only concern was to achieve the best outcome for investors that could be possible in the circumstances. We believe we have assisted to achieve this.”

The final repayment to investors will mean that at the end of the moratorium all investors will have received 85cents in principal and 29cents in interest, a total repayment of $1.14 per $1 of original principal. In addition as part of the original moratorium, all debenture holders received shares in GFNZ.