A Perth-based information and communication services firm offering onsite and remote ICT help has collapsed, owing unsecured creditors $3.8 million.
Matthew Donnelly and Dino Travaglini of Grant Thornton were appointed as administrators of XciteLogic last week.
The company’s branches – trading as XciteLogic Pty Ltd, XciteLogic (NSW) and XciteLogic (Vic) – have been placed in administration.
Travaglini tells SmartCompany initial investigations reveal the company owes unsecured creditors $3.8 million, with IT industry suppliers being the major creditors.
“I think it’s basically the group was under-capitalised. [They] invested significant amounts of money into the development of software and R&D,” Travaglini says.
The three branches of the group employed approximately 80 people, with 55 jobs lost so far.
The first meeting of creditors is due to be held on May 21 in Perth and Travaglini says more should be revealed at the meeting.
XCiteLogic is now up for sale, with an advertisement placed in The Australian Financial Review this morning.
In the ad, XciteLogic is described as a “national business providing strategic and integrated solutions for the ICT needs of government, corporate, medical and education clients.”
“We’ve called for expressions of interest and the reason for that is the XciteLogic group has developed a good foothold in sectors, specifically the education, and we believe this could be of value,” Travaglini says.
“We’ve had a good level of interest so far and we’ve been in discussion with parties to date.”