APAC Coal is set to re-list on the Australian bourse tomorrow after successfully completing the purchase of leading diversified debt restructuring group Credit Intelligence Holding and raising $3.6 million.
The company, to be re-listed under the ticker AAL, will use the funds raised from the prospectus to establish an Australian business similar to that of its successful Hong Kong business, brand and market reputation.
Credit Intelligence already has runs on the board in Hong Kong where the debt restructuring group developed a mechanism to manage bankrupt estates. The system allows for a high number of cases to be managed with minimal staff, reducing direct labour costs and delivering efficiency dividends.
It has been a profitable enterprise in that market, achieving an average NPAT of A$2.48 million p.a. over the last 3 years with an average net margin in excess of 60%.
The company is now looking to roll out this model in the Australian market which is currently experiencing record household debt levels, low wages growth and high mortgage stress.
APAC, through its acquisition of Credit Intelligence, will provide debt agreement administrator services and act as a registered trustee in relation to personal insolvency agreements and bankruptcies.
The company plans to progressively establish local offices throughout Australia either by acquiring existing insolvency businesses, employing experienced Australian insolvency practitioners or a combination of both.
Accord to APAC, listing on the ASX offers a sophisticated capital market and an internationally recognised corporate governance environment, which the company believes will provide a suitable platform to grow into other markets.
Shares in APAC will be re-listed tomorrow at 9am WST.
