Flow Systems that gave Sydney a host of innovative and sustainable water and energy solutions is in voluntary administration.
Christopher Hill and Phil Carter of PwC Australia were appointed joint administrators of Flow Systems Pty Ltd and related entities on 20 December 2018 after a sale process initiated by majority shareholder Brookfield failed to find new owners.
A media statement from PwC said that the administrators have secured funding to “continue trading on a business as usual basis whilst an accelerated sales campaign is undertaken”. This means that creditors who have outstanding invoices as of 20 December 2018 will have an unsecured claim in the Voluntary Administration. Business as usual refers to payment for the Voluntary Administrators’ authorised supply of goods and services to the Companies from 20 December 2018 onwards, a spokeswoman said.
The administrators were not available for comment.
The statement said the sale of business campaign started on 7 January 2019, with binding offers being sought by 4 February 2019.
“The administrators are working closely with all stakeholders, including the relevant regulators (including the AER and IPART), employees, customers and suppliers during the course of the voluntary administration,” the note said.
It’s understood that Brookfield, which owns 51 per cent of Flow Systems, undertook a sale process late last year but when this failed to find a buyer it initiated the administration process.
Disclosure: Flow Systems was a supporting sponsor of Tomorrowland 2018 and is now a creditor.