THE dreaded 11th hour has arrived for Ventracor shareholders,...

THE dreaded 11th hour has arrived for Ventracor shareholders, who have just days left to save the company from heading offshore.

Lawyers for the self-proclaimed Ventracor Shareholders Group have been advised that Ferrier Hodgson, which was appointed administrator to the medical device maker in March, planned to complete the sale of the business tomorrow, or Monday at the latest.

The buyer is believed to be Orqis Medical Corporation, a private Californian-based outfit backed by venture capital funds. It has offered $10million for the entire company.

Shareholders have been told that they need to raise at least an equivalent amount for their Deed of Company Arrangement (DOCA), submitted last month, to be taken seriously.

While they have already obtained about $4 million in pledges from existing investors, they are desperately seeking a wealthy cornerstone investor to produce cash upfront so the administrator can be assured that creditors, who are mostly staff, will be paid.

The group has appointed both a legal adviser and an insolvency specialist to act on its behalf. However, sources close to the rescue effort say that the process has proved frustrating.

Prospective investors had requested permission to conduct due diligence on the company. However, disagreements over the terms of an associated confidentiality agreement led to extensive delays.

Access to some materials has since been denied, resulting in one potential investor from Asia withdrawing a proposal to invest the entire $10million.

However, a possible white knight has emerged in the form of ABN AMRO Morgans, Ventracor's main financial adviser over recent years.

The stockbroking house had been oddly quiet since the company was placed into administration, but in recent days Ted Farrell, who runs Morgans' Wollongong branch, has been seeking financial support on behalf of the group.

The clock is ticking.

Goodbye or good riddance

MEANWHILE, Ventracor's chief executive Peter Crosby departed for his 18th century chateau in France last week, prompting staff to gather at the Great Northern Hotel on Sydney's north shore for a drink on Friday evening.

Interestingly, they waited until after he was on the plane to do so. Crosby, who is set to receive a termination payout in the vicinity of $2million, has apparently told colleagues that he plans to write a book about the company.

Formerly considered a shining light of Australia's medical technology sector, Ventracor shares soared above $3 during their peak but the company's inability to raise fresh capital saw the price fall to just 8c by the time the administrator was appointed.

The book should be a riveting read.

One Ventracor staffer has even suggested a working title: "How To Make a Small Fortune For Shareholders -- Start With a Big One".