Hyro to raise capital to pay off $2.3m tax bill
Digital marketing Hyro has announced a rights issue to enable the firm to raise capital to pay off a tax bill.
The company hopes to raise almost $4m, $2.26m of which will be used to pay off its debt to the Australian Tax Office.
The debt has built up as a result of Hyro, and its subsidiaries Fluoro and One Planet, going into voluntary administration in December last year.
According to a company statement posted on the Australian Security Exchange website, the rights issue aims to:
I’m no financial guru, so let me get this straight:
They’re asking people to invest in a company that’s struggling to meet its obligations to the ATO?
Now that would be a speculative buy.
OH DEAR!
so the share price is .3 of a cent?? So they have lost 99.9% of value from the $30 high?
I’m amazed they are still hanging in there.
To clarify Logic, it was a 30 cents high ($0.30) in 2007, not $30. For a closer look at how Hyro’s share price has trended in recent years, check out this Google finance link:
http://www.google.com/finance?q=ASX:HYO
Cheers,
Robin – Mumbrella
OK so it was 30 cents, its now .3 of a cent, so its worth 1% of what is was????
well – geepers, in dot com boom time (ie 2001) it was at $2.80!!!
@Logic it reached $7.40+ in the dot com boom days when it was BMCMedia
What they have done is actually a master stroke, considering there ATO obligation was all legacy Bill has managed to clear a roughly $11million obligation for about $2mill.
They have been released from around $30mill in debt for about $5mill over the last two years due to current managements ability to exploit opportunities.
@Lateral – there certainly is a lot of stroking going on that’s certain.