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Embattled Sydney developer Bathla Group has secured a 12-month extension from the NSW Supreme Court to finalise construction projects, but it is dependent on securing additional funds from lenders.
Administrator Teneo said on Friday that the company, which owes creditors $3.4 billion, had been given a lifeline with the extension of the convening period for the business to September 13, 2027.
It comes as the short-term funding package, which was secured last week to keep the group and its 542 entities operational for another two weeks, draws to a close.
While six lenders are currently providing additional funding, Teneo is in discussions with additional lenders who may be interested in participating.
Teneo’s Stephen Longley said the 12-month extension reflected the scale of the group’s construction portfolio and the varying stages of completion across its projects.
“We have taken a cautious approach to the timeframe to ensure there is sufficient time to progress and complete projects in an orderly way,” Longley said.
“The extension gives us the time needed to progress projects towards completion, but that outcome remains dependent on securing further lender support to maintain critical central functions at Bathla.
“Locking in this funding is therefore an immediate priority and discussions are continuing.”
Bathla Group entered voluntary administration on August 25. For the past few weeks, Teneo has been desperately negotiating with lenders to secure short-term funding to stave off liquidation.
Last week, 213 staff members were stood down and construction on many of the developer’s projects came to a halt.
Ellie Busby is a Parramatta reporter at The Sydney Morning Herald.Connect via X or email.From our partners
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