Ann: Redflow enters Voluntary Administration, page-25

@TinyBoat – "FFS - not again - KLL all over again!" – Actually, no.

KLL:

• the company had accumulated an enormous pile of debt
• there was no hope of the company being able to complete the plant with available funds, so the forward orders they held were worthless
• the directors had held on to the last gasp and last dollar, so there was nothing left to continue operations
• creditors stepped in and appointed receivers the moment the company went into administration

RFX:

• no debt
• plenty of cash at bank to fund continuing operations
• prospects of being able to deliver existing orders
• with no debt, there will be no receivership

I would suggest that this is probably the most mature, sensible, and proactive appointment of administrators I've yet seen for a stock that I've held and/or followed.

The administrators (Deloitte) have enormous resources in terms of analysts, contacts, and management skills that they can bring to bear to try and attract the additional capital required in order to qualify for the government support mentioned in the release. This is absolutely not a loss-of-shirt scenario, although your sleeves might be in for a trim. There is every likelihood that the company will emerge from administration with a detailed, concrete, well-researched strategic plan, a new cornerstone investor (who got the ends off your shirt sleeves in return for stumping up the capital), a refreshed board, and quite possibly a new CEO.