CBL Corporations Limited, re

In the High Court of New Zealand, the administrators of CBL Corporation Ltd and its subsidiaries sought an order further adjourning the watershed meeting of CBL and the convening period for the subsidiaries. This application arose from the voluntary administration of CBL Corporation Ltd and its subsidiaries under the Companies Act 1993. The court had to decide whether to grant the application for adjournment and extension, considering the complexity of the administration, the need for further asset realisation, the pending outcome of related litigation, and the interests of creditors and other stakeholders. The court granted the application for further adjournment and extension, aligning the dates for the watershed meetings of CBL and its subsidiaries to 17 November 2018. The court found that the adjournment and extension were appropriate, given the complexity of the administration, the need for further asset realisation, and the pending outcome of related litigation. The court also found that the adjournment and extension would not prejudice any person, including creditors of CBL, and could be accommodated by reserving leave to any interested person to vary or set aside the order. The court granted the application for adjournment and extension, subject to certain terms and conditions, including public advertisement of the orders and the right to apply to discharge or vary the orders.

This case highlights the importance of considering the complexity of the administration, the need for further asset realisation, and the pending outcome of related litigation when deciding whether to grant an application for adjournment and extension of a watershed meeting under the Companies Act 1993. It also highlights the importance of balancing the interests of creditors and other stakeholders with the need for further investigation and evaluation of restructuring proposals. The court's decision in this case provides guidance on how to approach such applications and the factors to consider when deciding whether to grant them.