Wellington, New Zealand, September 11, 2006--The ANZ Bank is now expected to make a decision on Sleepyhead's rescue plan for carpet manufacturer Feltex on Tuesday, according to a report from Radio New Zealand.
It was reported that on Monday Sleepyhead founders Craig and Graeme Turner put the final touches on their $NZ51 million recapitalisation bid to meet ANZ's terms by signing up an as yet unnamed bank to take some or all of ANZ loans. ANZ is owed at least $135 million by Feltex.
The Turners believe the company is in a good trading position despite its growing debt.
The Turner brothers' bid offers investors a chance to recoup some of their investment, though it is likely to be some time down the track before that may be a possibility.
They are confident the bank will support their deal but receivership cannot be ruled out. Nor can a bid by Godfrey Hirst, which says it still remains a willing buyer.
Godfrey Hirst withdrew a $NZ142m bid last week shortly after Feltex admitted its debt had risen.
