Jan Cameron-backed travel outfit Livn group in liquidation

Jan Cameron’s Bicheno Investments was owed $13.9m by travel technology group Livn, which has entered liquidation.

Jan Cameron, best known for founding Kathmandu.

Travel and technology play Livn Group has been placed in liquidation, with Jan Cameron’s Bicheno Investments taking a $13.9m hit from the company’s collapse, a creditors’ report shows.

The tour and activities booking group entered voluntary administration in June, with an urgent sale process conducted in a bid to keep it operating.

Earlier this week the group’s administrators, Antony Resnick and Suelen McCallum from dVT Group, were appointed liquidators, following a meeting of creditors late last month where resolutions were passed to wind up the entities in the group.

Ms Cameron’s Bicheno Investments was the major creditor of the group, owed $13.9m.

Ms Cameron is best known as the founder of Kathmandu, which she sold out of in 2006, pocketing $247m.

The creditors’ report says that the sale process for the company’s Google Things to Do and API businesses attracted interested from at least 20 parties which signed nondisclosure agreements however only two offers were received.

It is unclear whether those business units were sold, however the report shows that resolutions were passed to wind up the group, with all 19 creditors owed $14.4m in total voting in favour of winding up Livn Group and a smaller number of creditors voting to wind up five associated entities.

Jan Cameron was the sole director of Livn Group at the time of its collapse.

“The Covid-19 pandemic heavily impacted the companies’ business, which is evident from the financials of the Livn Group of companies,’’ the creditors’ report says.

“The industry suffered significant setbacks starting in 2021 due to widespread travel restrictions imposed on various countries in response to the Covid pandemic.

“The company was heavily reliant on the support of the secured creditor, Bicheno Investments, who are owed $13,961,792 pursuant to their security.

“Bicheno was not in a position to continue to financially support the companies’ business.’’

The report says the money owed to Bicheno relates to loans extended to the group to fund operations.

The consolidated accounts of the group show that revenues dropped from $1.57m in FY20 to just $257,830 the following year, then $448,376 in FY22. Revenues came in at $1.4m in the year to June 23 this year.

The company made significant losses in each of these years, including $3.6m in FY20 and $5.2m in FY22.

“With respect to the increasing costs, particularly the increase in staffing costs, it should be noted that companies providing APIs often face challenges in generating significant income and managing high expenses,’’ the creditors’ report says.

“Factors contributing to this situation include intense market competition, investing in developer relations and documentation, limited monetisation options, and relying on long-term revenue generation strategies.

“As a result of the continuing trading losses, Livn relied on monies lent by the secured creditor to finance its operations and invest in the development of its intangible assets.

“Continued trading losses and increasing loans have resulted in the deterioration of the net asset position.’’

The group employed 17 staff.

A call was made to the Livn headquarters in Sydney however it was not answered.

The liquidator has been contacted for further details.