The receiver of shareware company Yippee is taking technology, publishing and hospitality company Wilson Neill to court to enforce a sales agreement to buy Yippee’s assets.
Montgomerie & Associates, the receiver acting for debenture holders Web Media Investments and Keystone Funds, has started legal action against Wilson Neill over its agreement to buy Yippee’s intellectual property and assets for $2.7 million of Wilson Neill shares — not cash, as has been suggested.
Receiver Bernard Montgomerie says if the action is successful the shares could be sold to pay the debentures, worth around $1 million.
The sales agreement, subject to shareholder approval, was to have gone through on June 4. The deadline was missed and Wilson Neill is vague about when shareholder approval will happen. However, Yippee is now operating from the offices of Wilson Neill’s publishing company, IT Media. Meanwhile, Yippee’s former landlord has also called in liquidators Lay Dodd & Partners, which is acting for unsecured creditors.