VOLUNTARY ADMINISTRATION

Announcements

1. Supreme Court Orders made – 16 July 2018

2. Circular to Creditors and Shareholders – 9 July 2018

3. Explanatory Statement and Independent Expert Report by KPMG – 9 July 2018

4. Sealed Orders – 2 July 2018

5. Sealed Originating Process – 26 June 2018

6. Report to Creditors – 21 March 2018

7. Sealed orders of Justice White – 27 July 2018

What does Voluntary Administration mean for shareholders?

Voluntary Administration (VA) is a process where a company is placed in the hands of an independent Insolvency practitioner who can assess all the options available to restructure the business including a sale of the business in order to achieve the best outcome for all stakeholders . The VA process also allows for a recapitalisation of the business through a Deed Of Company Arrangement.  Oroton is continuing to trade on a business as usual basis while the Administrators seek a buyer for the Oroton business and pursue recapitalisation offers.  The intention is to seek a buyer for the business or pursue recapitalisation as soon as possible.  The Administrators have advised they anticipate that the process to find a buyer for the Group will be completed by the end of January 2018.

During voluntary administration shareholders cannot transfer shares in the company without permission from the Administrators or the Court.  For further information on the impact of voluntary administration on shareholders, please refer to the Australian Securities and Investments Commission Info Sheet Insolvency: A guide for shareholders:

http://www.asic.gov.au/regulatory-resources/insolvency/insolvency-for-shareholders/insolvency-a-guide-for-shareholders/

Any shareholder enquiries should be directed to the Company Secretary at CompanySecretary@orotongroup.com

When will the 2017 AGM be held?

In December 2017, the Administrators of Oroton requested that ASIC grant Oroton relief from section 250N of the Corporations Act 2001 (Cth) (“the Act”) to extend the time to hold its 2017 AGM.  On 17 December 2017, under section 250P of the Act, ASIC granted an extension to the period within which Oroton must hold its 2017 AGM from 29 December 2017 to 29 March 2018.

This extension allows the Administrators time to satisfy its obligations to Oroton’s creditors in accordance with the requirements under the Act.  A further update in respect to the 2017 AGM will be provided in due course.

Any shareholder enquiries should be directed to the Company Secretary at CompanySecretary@orotongroup.com

This notice has been provided to the ASX here

Frequently Asked Questions

As of Thursday 30th November, 2017, Oroton Group was placed into voluntary administration with Deloitte appointed to take control of the business and operations of Oroton Group on a ‘business as usual basis’. The Administrators will undertake an assessment of the business with the intent to seek offers to purchase the Oroton Group as an ongoing concern.

What is Voluntary Administration?

Voluntary Administration (VA) is a process where a company is placed in the hands of an independent Insolvency practitioner who can assess all the options available to restructure the business including a sale of the business in order to achieve the best outcome for all stakeholders . The VA process also allows for a Deed Of Company Arrangement to be entered into for the benefit of creditors.

Is Oroton Group in Receivership / Bankrupt / Conducting a ‘fire sale’??

No. Oroton will continue to trade on a ‘business as usual’ basis nationally across 59 stores and online. Products can continue to be purchased as normal.Oroton Group will continue to operate as usual while the Administrators seek a buyer for the Oroton business.

How long will the voluntary administration process take?

The Administrators were appointed on Thursday 30th November, 2017. The intention is to seek a buyer for the business as soon as possible. The Administrators have advised that they anticipate that the process to find a buyer for the Group will be completed by the end of January 2017. We will continue to keep all stakeholders informed.

Will Oroton Group continue to trade?

No. The Oroton Group business has discontinued trade while the Administrators seek a buyer for the business.

What happens to my local Oroton store?

At this time, all Oroton stores nationally and the online store continue to operate as normal.

Will current Oroton Gift Cards be honored?

Yes. All existing Oroton Gift Cards will continue to be honoured. And can still be purchased online and in store.

What happens with my unused Gift Cards?

Validity dates for Gift Cards remain unchanged with a standard 12 months validity period. If Gift Cards are not used within the 12 month validity period, the outstanding amount will be forfeited.

What affect will this have on product purchases?

Product Refund or Exchanges: As per Oroton’s normal terms & conditions, product refunds or exchanges will remain on presentation of an original receipt where goods are in original packaging (salable condition).

Product Warranties and Consumer Guarantees: As per Oroton’s normal terms, product warranties will be honored as usual. The Consumer guarantees and remedies provided under the Australian consumer law will apply as usual and Oroton’s existing policy for faulty goods, including for goods purchased after Thursday 30th November, 2017, will continue to apply.

For further information: Oroton Warranty information

Companies subject to the Voluntary Administration

OrotonGroup Limited ACN 000 038 675
OrotonGroup (Australia) Pty Ltd ACN 000 704 129
OrotonGorup (Licence Company) Pty Ltd ACN 166 068 695

Oroton operations overseas are not under voluntary administration and are unaffected.

Stores subject to the voluntary administration:
ADELAIDE CAIRNS HARBOURTOWN QLD
AIRPORT – INTERNATIONAL AIRPORT – SYDNEY DOMESTIC BIRKENHEAD POINT
BONDI JUNCTION BRISBANE AIRPORT DFO BRISBANE CBD
BURNSIDE VILLAGE BURWOOD CANBERRA
CARINDALE CASTLE TOWERS CHADSTONE
CHATSWOOD CHASE DJ’ ADELAIDE – RUNDLE MALL DJ’S BONDI
DJ’s BOURKE STREET CONCESSION DJ’S BRISBANE DJ’S CHADSTONE
DJ’S CHATSWOOD CHASE DJ’s ELIZABETH STREET CONCESSION DJ’S PERTH – HAY STREET
DONCASTER EASTLAND EMPORIUM
ESSENDON GARDEN CITY HARBOURTOWN SA
HAY STREET HIGHPOINT HOMEBUSH
HORNSBY INDOOROOPILLY KARRINYUP
KOTARA LIVERPOOL MACQUARIE CENTRE
MARION MIRANDA MOORABBIN
MYER MELBOURNE MYER SYDNEY NUNAWADING
PACIFIC FAIR PARRAMATTA PITT ST MALL
Q V B ROBINA WARRINGAH MALL
WATERTOWN WA (PREV HARBOURTOWN) WESTFIELD SYDNEY OROTON HO

Published: 30th November, 2017. This document will continue to evolve as new issues and frequently asked questions come to hand.

For all Creditor enquirers please contact: orotongroup@deloitte.com.au