Embattled Keppel subsidiary Basslink enters voluntary administration

Three Ernest & Young representatives were chosen as voluntary administrators.

Basslink, the embattled Asitalran subsidiary of Keppel Infrastructure Trust  (KIT), has ented a voluntary administration.

In a bourse filing, KIT’s trustee manager said Adam Nikitins, Stewart McCallum, and Colby O’Brien from Ernst & Young were appointed as voluntary administrators of the Australian-based electricity interconnector.

The move was done following ongoing disputes with its customer Hydro Tasmania and an unsuccessful sale process with APA Group.

KIT reported that Basslink had already reached out separately to the State of Tasmania, Hydro Tasmania, and National Australia Bank Limited in connection with the arbitration award in the amount of approximately $39.02m (AU$39.5m); costs awarded in the amount of approximately $7.1m (AU$7.2m) in view of the expiry of the standstill agreement; and letters demanding payment for $57.9m (AU$58.6m) from Hydro Tasmania.

Basslink, in a separate statement, said its move to enter voluntary administration was made with the long-term interest of the company, its creditors, and employees, in mind.

Nikitins said the voluntary administrators will be “seeking to assess the best options” for Basslink  “with a view to restructuring it for a more sustainable future.”

Follow the link for more news on

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Exclusives

How investor stewardship puts companies in a win-win state
Stewardship Asia Centre CEO says a company’s failure to take care of society is a failure to take care of its stakeholders.
Creating harmony in a heterogonous workforce 
An HR expert said tests like DISC can help identify which employees can work best together.