- Suspended British Columbia quarry operator Pan Pacific Aggregates plc announced a restructuring and rescue plan following the halt of its reverse takeover, announced on April 18.

Pan Pacific said the move had meant many of its advisers' fees remained outstanding as they would have been paid out of the RTO fund-raising.

The company plans to enter a Creditors Voluntary Arrangement and has appointed Kingston Smith and Partners in relation to the CVA as a part of its restructuring and rescue plan.

It says it aims to have trading in its shares resumed as soon as possible and is in discussions to obtain funding to ensure that Quadling Quarry continues trading and carries out its development plans.

The company envisages short-term funding will be achieved by securing a loan against the shares of Pan Pacific Quadling Quarry Ltd.

A further equity fund-raising will then be sought to repay the loan, provide 12-18 months of working capital for the quarry's next development phase and pay all creditors under the CVA.

The quarry continued to be fully operational, said Pan Pacific. It was performing to board expectations and about to embark on the next stage of development.

Previously, the company reported it had failed to raise the necessary finance to complete a reverse takeover announced on January 17 and had advised vendors of the failure 'for reasons beyond its control'.

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