CEC Group has secured an extension from its lenders, to extend its debt facility for five months from May 31.
The company said the extension will give it time to further reduce debt.
“CEC is revisiting the rate of property development in light of the short term property outlook and the current climate for debt finance,” chief executive Roy Lavis said.
“The company is implementing a strategic change in approach in order to reduce costs and bring forward sales and cash flow,” he added.
“The current refocusing of the property business, including cessation of loss making operations and the focus on shortening the property development to cash cycle, together with corporate cost reduction initiatives leaves CEC well placed to return to profitability together with a significantly improved balance sheet in order to benefit from the longer term growth outlook for the
“CEC currently has approved applications for 906 lots of land, additional applications under assessment for a further 560 lots of land and in excess of 6,000 additional lots of land in the land bank,” Lavis concluded.
Australian Property Journal
