Prior to the United States court ruling over long-running dispute with property developer Mark Cooper, an award worth $6 million has been granted to the Allied Farmers. In order to construct luxury condominiums in Beverly Hills, California, Pacific Northstar Property Group headed by Mr. Cooper had borrowed $20 million from Hanover.
The Queensland development popularly known as Five Mile has been purchased for more than $23.2 million by a local buyer, in a conditional deal with Allied Farmers.
The land was earlier proposed to be developed into a mixed-use up market town centre by property developer, David Henderson. But those plans were cancelled after the land went into the hands of a receiver, following its owner defaulting on payment.
Reports confirm that the parent Company Allied Farmers has increased the credit support facility for its subsidiary Allied Nationwide Finance.
In order to provide extra capital to cover the further losses on the impaired loans of its subsidiary Allied Nationwide Finance, the amount has been increased to $10 million from $5 million.
Following the review of ANF’s loan provisioning, the increase was vital.
It has been reported that the shares of Allied Farmers experienced a huge loss in their value and saw more than 1.9 billion shares landing in the share market. This is the first time that something of this magnitude has happened and it is a notable fact that the shares were issued the previous week to United Finance and Hanover Finance who are the former investors.