Jim Raptis to relaunch his Raptis Group on the stock exchange this morning

VETERAN Gold Coast developer Jim Raptis’ Raptis Group is due to resume trading on the Australian Stock Exchange today.

Meeting of Raptis Group creditors at The Gold Coast International : Jim Raptis leaves the meeting.

SEVEN years after being delisted from the stock exchange for the second time, owing creditors almost $1 billion, veteran Gold Coast developer Jim Raptis’ Raptis Group is due to resume trading on the Australian Stock Exchange today.

In place of the multi-million dollar Gold Coast supertowers for which it was best known, the Raptis Group will relaunch development with a far more modest 60-townhouse project worth $25 million in Springwood, south of Brisbane.

The Raptis Group, first listed in 1986, was known for developing landmark Glitter Strip high-rises including The Moroccan, The Phoenician and Bel Air in the 1990s and later the $400 million Chevron Renaissance towers and $700 million Southport Central. The group launched the Hilton Hotel but the project was taken over by financier ANZ.

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The group’s first meltdown, in 1991, left investors owed $65 million but the company worked its way out of trouble after striking a deal which saw creditors recover just 3.5¢ in the dollar.

The Raptis Group collapsed for the second time in two decades in 2008 under the weight of almost $1 billion in debt.

The latest rise from the ashes was stalled while the group last year managed to reduce a $30 million Australian Taxation Office bill to just $6.

The $1.5 million to kickstart development of the proposed Springwood project, raised through the issue of 11 million shares to Hanslow Holdings, an entity associated with Mr Raptis and wife Helen, will include $95,000 spent on consultant’s costs and fees to secure development and building approvals, $258,825 to settle the land contract and a $500,000 equity contribution on to settle the land contract.

In total, $868,825 of the $1.5 million will be spent on development costs.

Mr Raptis said construction of the townhouses is due to start in late February or early March and be completed in eight months, with the project due to settle in November 2016.

However, the mooted development is yet to receive council approval.

Mr Raptis yesterday said it brought him “a great sense of personal satisfaction to see the company resume trading”.

“I take this opportunity to thank all our stakeholders and supporters who have been patient and worked with us to achieve this positive milestone,” he said.

“It is an opportunity for the company to return value for shareholders by establishing an effective development team and embarking on a steady and strategic rollout of projects.

“All indicators are southeast Queensland will provide the best growth opportunities in the next few years and our first project is positioned to take advantage of this.

“We will be pursuing other development sites and will advise the market when these new development opportunities are secured.”

Mr Raptis previously said he planned a board restructure, would step aside as chief executive officer to become chairman and remove wife Helen as a director.

He also planned to appoint an independent CEO and chief financial officer.

However, at this point, the company directors remain Jim and Helen Raptis and Malcolm Cory, the group’s accountant. Mr Raptis and Mr Cory each hold the joint role of company secretary.