CRUNCH TIME:  Hwange Colliery has been given leave by the High Court of Zimbabwe to meet its creditors and present a plan to repay debt in a structured way. File picture: REUTERS
CRUNCH TIME: Hwange Colliery has been given leave by the High Court of Zimbabwe to meet its creditors and present a plan to repay debt in a structured way. File picture: REUTERS

Hwange Colliery, a Zimbabwean coal supplier listed on the JSE, is still in discussions with its creditors to deal with its crippling debt.

The company said in a Sens cautionary statement on Friday that its debt management plan was in the process being finalised.

The company had previously said that a plan would be finalised in the final quarter of 2016.

Hwange was given leave by the High Court of Zimbabwe to meet its creditors and present a plan to repay its debt in a structured way.

Business Day previously reported that the Zimbabwean government had agreed to convert short-term obligations of $88m into long-term financial instruments.

Hwange had nearly $13m of debt due in the next 12 months and $17m in longer-term loans.

The 2016 interim results to end-June showed the company had current liabilities of $311m, of which $256m was under trade and other payables; against current assets of $61m, of which just $360,000 was cash.

© Business Day

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