Calidus Resources Limited (ASX:CAI) and its subsidiaries are set to hold the second meeting of creditors on Friday 27 September 2024 to determine the future of the group. The Administrators have issued their Report to Creditors ahead of the meeting, presenting the only interdependent set of Deed of Company Arrangement (DOCA) proposals received from the West Coast group of companies. Creditors will have the option to vote for a DOCA, liquidation, or returning the companies to the control of the directors if solvent.
In the Report to Creditors, the Administrators expressed their opinion that executing the West Coast DOCA proposal would be in the creditors' interests, as it is likely to result in a greater return for the creditors compared to immediate winding up of the companies. They also highlighted the option for creditors to adjourn the meeting for up to 45 business days to explore alternate DOCA proposals, provided that such proposals are sufficiently advanced or have the support of the Secured Lender.
Calidus Resources Limited (ASX:CAI) has provided an update on the upcoming second meeting of creditors, where the future of the group will be decided. The Administrators have recommended the execution of the West Coast DOCA proposal, emphasizing the potential for a greater return for the creditors. Creditors also have the option to adjourn the meeting to explore alternate DOCA proposals. The West Coast DOCA Proposals are subject to certain conditions precedent, including court approval for the transfer of shares in Calidus Resources Ltd to the DOCA Proponent. The company has provided contact details for media, creditor, and supplier enquiries.