A voluntary administrator has been appointed to oversee the business of troubled production house One North Entertainment.
One North, which sprang from the well-known RGM talent agency business and originally traded as RGM Media, initially had plans to produce a sequel to surf hit Point Break.
However, it ran into severe financial difficulty and the directors called in a voluntary administrator (usually appointed when a company is insolvent or likely to become insolvent) on July 2.
"The board of directors has reviewed a number of options as part of its efforts to finalise its broader plans to restructure the company and place it on a sustainable footing," the company said in a statement.
"Key elements of the restructure included the orderly transition of its film finance and production business undertaken in Singapore to Australia and the reorganisation of the company’s capital structure. Whilst the transition of the business to Australia has largely been completed, the board considered that the appointment of a voluntary administrator (administrator) was likely to be the only effective option in the circumstances to conclude the restructure."
The company also said it is unable to provide shareholders with any assurances as to what the administrator may find or what its plans for the company may be. "However the board remains of the view that the completion of the restructure is the best path forward to restoring value to stakeholders and will work closely with the administrator to achieve this aim."