A company planning to launch its own communications satellite has fallen into administration.
NewSat made a $39.7 million loss in the six months to December 31, and has $300 million in outstanding loan repayments.
It had plans to launch a satellite to provide new, high powered coverage for business and government clients in the Middle East, Asia and Africa.
Insolvency firm McGrath Nichol has taken control of the company and its assets.
"The receiver's immediate priority is to take control of the assets of NewSat, urgently assess its financial position and progress the capital raising activities recently commenced by the company," McGrath Nichol partner Jason Preston said.
NewSat was listed on the share market in October 1996, and its share price soared from $3.74 to $55.68 within its first three years.
But it soon fell, sinking below 47 cents in September 2001, and its shares were worth 11.5 cents when they were suspended from trade in March.
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