COAL miner ATH Resources, which is in administration, yesterday revealed that Hargreaves Services had acquired some of its banking facilities.
Administrators from KPMG are trying to find a buyer for ATH, which mines from four opencast pits in Scotland, after private equity firm Better Capital called time on its debt.
In a statement issued yesterday, ATH said: “The board has been notified by its lender BECAP Capital Coal that Hargreaves Services has acquired some of ATH Resources and its subsidiaries’ banking facilities and their related rights.
“As a result of initial discussions with representatives of Hargreaves Services, the board understands that a comprehensive review and restructuring of the group’s business will be required and that, given the existing level of liabilities in the company, it is unlikely that existing shareholder value will be maintained.
“The board will continue to update the market as appropriate.”
In January, ATH Resources said that, following the appointment of administrators to the company on December 5, David Port had resigned as chairman and a director of the company.
Director Tim Stokeld also resigned from Doncaster-based ATH.
In December, William Wright, Brian Green and Allan Graham of KPMG were appointed as administrators of ATH.
The trading of ATH’s shares on the AIM Market of the London Stock Exchange was suspended.
However, the company’s principal trading subsidiary, Aardvark TMC, is not in administration and continues to trade.
Energy and logistics group Hargreaves Services recently confirmed that it would make hefty losses from the closure of Maltby coal mine.
The company’s decision to mothball Maltby Colliery was announced in December 2012, and could lead to around 500 job losses.
In a statement to accompany its interim results, which was issued this week, Hargreaves Services said that energy and commodities had continued to trade well.