But an industry leader believes the result will affect the region’s other growers "to no extent whatsoever".
Cherri Global Ltd, Cherri Machinery Ltd and Cherri Holdings Ltd were all placed into liquidation this month by a special resolution of shareholders.
In their first report, liquidators said the majority of the companies’ property assets and operations had been sold, following challenges associated with Cyclone Gabrielle and an unsuccessful attempt to raise new equity to fund the development of orchards.
They ceased trading in November last year, following the sale.
Operating out of the Hawke’s Bay and Otago regions, the companies produced and distributed cherries for the domestic and international retail markets.
At the date of liquidation, Cherri Global had a total of about 22 unsecured creditors who were owed about $12,685,420, the report said.
Cherri Holdings had six unsecured creditors and Cherri Machinery had four, each owing about $24,916,478 and $5,107,796 respectively.
The report listed Spark New Zealand, Inland Revenue and the Ministry of Business, Innovation and Employment among known creditors of Cherri Global.
45 South chief executive Tim Jones said he believed the companies’ liquidation would affect the region’s cherry-growing industry "to no extent whatsoever", as he understood their Central Otago orchards were sold to fellow grower Kiwi Crunch in November.
"Those trees are still in the ground and they’re being managed by someone else."
Cherri Global was an "outlier" and he expected most other established cherry growing companies would be having a "completely different result" to them, and other newer players in the industry.
In September 2020, Cherri Global placed just over 24ha of land on the market.
Managing director Phil Alison said at the time they had already planted 60ha in cherries.
At the date of liquidation, all three companies held a combined total of $229,201 in cash, and Cherri Machinery also had assets comprised of various agricultural equipment totalling $393,947, the report said.
Cherri Global had employed two staff.
The most recent financial statements liquidators had received were for the year ending March 31 last year.
