Company placed in final liquidation

LISTED affordable homes builder RBA Holdings has been placed in final liquidation. The company said yesterday that the Western Cape High Court had granted an order discontinuing the business rescue proceedings and placed the company into final liquidation. The trustees of Old Mutual’s Housing Impact Fund SA (Hifsa) in February last year successfully applied to the South Gauteng High Court in Johannesburg for RBA Holdings and its wholly owned subsidiary RBA Developments to be placed into business rescue. RBA Holdings in 2014 entered into an agreement with Hifsa for a loan of R55 million, with the trust subscribing for 550 million shares at 10 cents each in the share capital of RBA. The company received the R55m in November 2014. Three additional subsidiaries, RBA Building Projects, RBA Homes and RBA Executive Homes, were subsequently also placed in business rescue in March last year. However, business rescue practitioner Trevor Glaum concluded earlier this month there was no reasonable prospect of the company being rescued. Glaum applied to the Western Cape High Court for an order discontinuing the business rescue proceedings and placing the company into liquidation. He said RBA Developments, the main operating company in the RBA group of companies, together with the RBA group’s construction arm, RBA Building Projects, was placed in final liquidation on February 6 this year. The company was both factually and commercially insolvent.