Property magnates the Chow brothers have bought Christchurch’s troubled Stonewood Homes’ business assets for an undisclosed sum.
The pair have joined with corporate finance specialist Clint Webber to buy the national franchise rights and the Christchurch franchisee.
The company was placed in receivership two weeks ago, owing unsecured creditors approximately $15 million.
New contracts on similar terms have been offered to the remaining 44 employees today.
Clint Webber said while they still have quite a process to work through with the receivers, their next step will be to engage urgently with customers.
Under the terms of the sale, the purchaser has the right to take over all customer contracts.
If they don’t want to take over the contracts, work will continue with the Registered Master Builders Association under the Master Build Guarantee.
KordaMentha’s Grant Graham said the purchasers intend to continue to employ staff and trade the business in Christchurch.
41 people have already been made redundant.
Stonewood customers will be contacted by the purchaser to discuss next steps for their specific projects.