Creditors of Metigy, which went into administration late July putting 75 people out of work, have voted to place the artificial intelligence marketing platform into liquidation.
This will allow the now liquidators, Simon Cathro and Andrew Blundell of Cathro Partners, to dig deeper into the collapse.
They say the company “has been insolvent for a significant period of time” and that liquidation will allow the pusuit of “various legal claims against various parties”.
They have already found: "It appears as though the Metigy Group didn’t ever reach a cash flow positive trading position, and it relied almost entirely on capital injections from existing and new shareholders."
In a report to creditors, Cathro and Andrew Blundell wrote: "The reasons for the companies (Metigy group entities) failure can be attributed to: Under Capitalisation; Poor strategic management of the business; Inadequate cash flow or high cash use; Trading losses; Unreasonable director related transactions."
Staff are owed millions, including superannuation payments.
Part of a $20 million capital raise last year -- led by Cygnet Capital and including Regal Funds Management, OC Funds and Five V Venture Capital --was used to buy property via a loan to founder David Fairfull, a former We Are Social managing partner.
The administrators have placed two caveats over two properties, one in Mosman in Sydney’s Lower North Shore and one in the Wattamolla area of Kangaroo Valley, south of Sydney. The mortgages are currently in default.
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