AUS: Winery sale delay forces E&T deeper into red
Struggling Australian wine producer Evans & Tate has been forced to ask the banks for more cash after a delay in the sale of its Griffith winery.
ANZ Bank has injected a further A$12m (US$8.9m) into Evans & Tate after the company revealed the sell-off was "unlikely" to be finalised in the next three months. The financing comes on top of ANZ's initial A$10m loan in July.
Evans & Tate said it had received "a number of enquiries" about the Griffith winery with "several" of those bidders expressing "strong interest". The company said it was in the process of conducting due diligence on the offers.
The company had told investors in June that the proceeds from the Griffith winery sale would be used to pay back debt, which stood at A$107m on 30 June.
However, the company said on Tuesday (17 January) the sale proceeds would now be used to pay back the fresh cash injection from ANZ.
Evans & Tate has put its Oakridge winery up for sale as part of its plan to focus on its premium wine business....
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