Creditors in collapsed caravan maker Highline Caravans facing hefty loses

Melbourne caravan maker Highline Caravans went bust owing more than $1.1m but its liquidator has found no cash in the bank and just $10,000 in other assets in a major blow for creditors.

A failed Melbourne caravan maker collapsed with no cash in the bank and just $10,000 in assets, an early liquidator’s report shows.

The report indicates creditors in Highline Caravans are facing considerable losses after the Campbellfield-manufacturing business entered liquidation owning $1.14m.

Sixty-one parties, ranging from suppliers to the Australian Taxation Office, have registered as parties who are owed money.

Highline, which designed and made custom caravans, called in liquidators on May 7.

The company’s range spanned 13 different models, including an all electric van.

Highline Caravans went bust owing $1.14m. Picture: Supplied

Insolvency expert Altan Djenab, from Wild Apricot corporate insolvency and advisory services, is now picking is way through the company’s financial wreckage.

The only assets identified by Mr Djenab so far are $10,000 in plant and machinery equipment and he warns creditors it is only likely to raise $5,000 if sold.

The Australian Taxation Office is listed as the largest creditor owed $235,802.

Other major creditors are suppliers including Caravan & Camping Aus owed $110,931, Battery Stop owed $85,235, Plenty River Plumbing owed $72,018 and Intelligent Engineering owed $58,488.

No employees are owned any money.

Highline made 13 different models. Picture: Supplied

The company says sales fell off a cliff in the past six months. Picture: Supplied

Covid turbocharged caravan sales but Highline said a post boom hangover was now hitting the industry.

“With heavy hearts, we can confirm that our journey at Highline Caravans has sadly come to an end,” the company said in a statement.

“We have celebrated many successes over the years, but the last six months have proved to be very challenging faced with immense decline that (the) whole industry is seeing, the sales simply ran out and we were forced to make the hard decision to close the doors.

“We would like to take the opportunity to thank all of our loyal customers, dealerships, contractors and suppliers for all of your support over the years, but most of all, our staff, we had a great team in the end whom we will always be grateful to.

“Our parting words are that we wish all of our Highline owners safe travels and only the very best, making memories in their vans for many years to come.”

There are more than 800,000 caravans and recreational vehicles registered across the nation.