Investors may encounter situations where a company they have invested in has liquidators, receivers or voluntary administrators appointed.
Liquidators, receivers and voluntary administrators are all types of insolvency managers who manage the affairs of financially distressed companies. They take control of the company's affairs.
As a shareholder, your rights and influence are significantly reduced when an insolvency manager is appointed.
Next steps for investors
If you are an investor facing this situation, consider the following steps:
Insolvency manager: Find out who the insolvency manager is.
In New Zealand you can find these details by searching for the company name on the Companies Register.
In Australia you can find these details by searching for the company name in the published notices on ASIC.
Reports: Read the reports from the insolvency manager.
Sharesies Private does not receive any information beyond what the insolvency manager makes public.
Companies that appoint insolvency managers may stop paying their invoices. Their profile may be closed on Sharesies Private.