Autobahn Rent A Car group appeals dismissed moratorium, reveals potential SGX listco investor
The group has also filed for a new six-week interim moratorium to facilitate investment negotiations
[SINGAPORE] The Autobahn Rent A Car group on Monday (Dec 29) filed an appeal on the decision of its recently dismissed application for creditor protection, and a request for the court to expedite the hearing of the appeal.
The Business Times understands the group has applied for another interim moratorium of six weeks on the back of new potential investment from a Singapore Exchange (SGX)-listed company.
On Dec 26, the application for a six-month moratorium and scheme of arrangement by eight of the group’s companies was dismissed.
The application would have given the group protection against creditor actions and rights as it reorganises its business under a scheme of arrangement. A 30-day automatic moratorium upon application lapsed on Dec 26.
The eight companies involved in the appeal are: Autobahn Rent A Car, Hamilton Autohub, Hamilton Capital, Shinsei Rent A Car, AhTan Car Repairs, Hamilton Autobahn, 88 Auto and Thundercarz.
In total, the group consists of 18 automotive sector companies including car sharing service Shariot, and has debts of more than S$370 million to over 50 creditors, including DBS , OCBC , and UOB .
The group, which was mainly involved in private-hire car rentals and fleet management, had built up a fleet of at least 1,100 cars since 2017 on hire-purchase and various loans.
Potential investor
The full group has revealed a new potential investor and sought a six-week moratorium to facilitate negotiations with said investor.
A Dec 24 affidavit by representative Tan Boon Kee, also known as Roy Tan, stated that an SGX-listed company had indicated investment interest in the group.
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Group representatives declined to state the identity of the company, citing confidentiality concerns and a non-disclosure agreement.
Earlier, the group revealed other potential investors from Australia and Malaysia with a proposal to hive off Shariot into a joint venture with a potential equity injection of S$100 million.
In the lead-up to the Dec 26 hearing, 22 creditors opposed the moratorium application. Creditors that had claimed the largest sums were DBS with S$102.6 million, Teck Wei Credit with S$74.2 million and Toyota Financial Services with S$43.1 million.
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