Slater and Gordon Limited
(ASX:SGH) has issued a statement in response to media reports the company’s key lenders have appointed insolvency firm McGrathNicol to check into its books.
Slater and Gordon has seen the company share price plunge from well over $7 to just over 70 cents in a horror year peppered with controversy following the $1.3 billion purchase of UK firm Quindell’s professional services division.
Slater and Gordon managing director Andrew Grech says the appointment of an extra set of eyes was part of an agreed process with the banks and the law firm still has more than $100 million headroom in its banking facilities.
Slater and Gordon are also facing class action from rival law firm Maurice Blackburn and an ACCC inquiry into their 2014 accounts.
Slater and Gordon made a net profit of $83.8 million for the 2015 financial year.
