22 Dec 2016

Intueri expects to breach debt arrangements

11:59 am on 22 December 2016

Intueri Education expects to be in breach of its banking covenants while it waits for updates on a regulatory review of two of its Australian training schools.

The Australian Skills Quality Authority had threatened sanctions against the training schools, including deregistration.

Yesterday Intueri confirmed its Australian government funder had refused to make a $AU6 million payment it was counting on, although it planned to appeal that decision.

Despite its troubles, Intueri said ANZ Bank remained supportive of the company and they were working to restructure its debt facilities, after it received funding confirmation for its New Zealand training programmes.

While New Zealand regulators were auditing a few of its schools, Intueri did not anticipate there would be any significant findings, the company said.

Intueri chief executive Rod Marvin said it had been a turbulent year for all of the vocational education sector.

"While the sector is now significantly different to what it was twelve months ago, we have made good progress in stabilizing our company and we are focused on achieving our 2017 business targets."

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