A SWISS-based financial company with strong ownership connections in the Middle East has confirmed it is in negotiations to buy 53 per cent of controversial south western Queensland irrigation giant, Cubbie Station.
Western Gulf Advisory AG is expected to buy the majority stake in the parent company, Cubbie Group Limited, which farms 93,000 hectares of the Lower Balonne floodplain just north of the NSW border near Dirranbandi.
Western Gulf Advisory, based in Zug in northern Switzerland, has offices in Hong Kong, Kuala Lumpur and Bahrain, where it is run by its founder and chief executive officer, Ahsan Ali.
Mr Ali, a finance and law graduate has a clientele that includes royal families and business identities across the Middle East, Europe and Asia.
The company recently provided about $220 million in funding for Hunter Valley based wind farm developer, Alan Keller, to begin a housing and industrial land development project at Gawler in South Australia to provide accommodation services for the SA mining industry's nearby expansion.
Western Gulf Advisory was reported yesterday to have raised up to $300 million to resolve the debt issues of Cubbie - Australia's biggest individual cotton producer with major water capture and storage capabilities totalling about 500,000 megalitres.
Cubbie chairman, Keith De Lacy, has said he expected to have a proposal to put forward at the deferred creditors meeting on June 15.
Cubbie Group, whose main creditors are the National Australia Bank and Suncorp, was placed into administration with McGrathNicol last October after banking facilities on $320 million of debt expired.
McGrathNicol administrator, John Cronin, has apparently claimed an adjourned second creditors' meeting on June 15 was likely to have an outcome.
"I would like to reinforce the fact that we still have two contenders who have strong prospects," he said.