South Canterbury Finance looks likely to announce a reorganisation this morning that may take the form of a long anticipated "good bank, bad bank" solution.
There is plenty of conjecture in New Zealand media over how much longer SCF, based in Christchurch may trade on; how much it support it may have found from a range of financiers, and how much government aid the firm may be about to receive.
The finance company will make an announcement on its future 9.30am this morning.
This announcement will "surprise some" and "will be good and bad" according to a report this morning by
Interest.co.nz.
Maier told Interest.co.nz the announcement would impress the government and would be a beginning for some parts of South Canterbury and an end for other parts.
He declined to give further details, except to say the short announcement made to the market was likely to be misinterpreted and would require significant interpretation.
How much of the company will survive as a good bank and which assets will slide into the bad bank and wound up may be made clear in this morning's announcement.
"Most recapitalisation or restructuring arrangements would require stakeholder involvement and take time, that's why we started so many months ago. We are still working to the 31 August waiver date," Maier wrote in an email last week.