OneVue Holdings has taken control of a Sargon subsidiary's 19% stake in ASX-listed wealth and advice firm Sequoia Financial Group, as its looks to recoup $31 million.
The Sequoia stake is worth about $4.6 million at Tuesday's closing price of 20 cents.
The move comes as OneVue tries to recoup $31 million that is outstanding from its 2018 sale of Diversa Trustees to Sargon Capital Pty.
On Tuesday OneVue appointed PwC as the receivers for SC Australian Holdings 1 Pty Ltd.
"[The receivers] have today secured and taken control of one of the assets under OneVue's secured interest," OVH said in ASX filings this afternoon, referring to 23 million shares in Sequoia.
"OneVue will now assist the receivers to realise the full value of this asset...the receiver is continuing to to work on an urgent basis to realise value for OneVue and we will continue to keep the market updated," it said.
Sargon's stake in Sequoia
Sargon Capital Pty Ltd (which is currently in receivership) first became a shareholder in Sequoia in June, 2018.
At the time, it had a 12.05% voting power through its roughly 12.4 million shares in Sequoia. The shares were held as 10.8 million to Sargon Capital Pty Ltd (the holding company) and a 1.5 million to a company called Valuead Pty Ltd, ASX filings show.
Valuead was described as a related party with common shareholders to Sargon Capital in the document signed by Fiona Borrelli as the company secretary.
Three weeks later, Sargon upped its stake in Sequoia to 19.42% or about 22.7 million shares.
Again, the company held it across Sargon Capital, who now nearly doubled the shares held in its name and Valuead, whose shares remained the same.
For the next year, Sargon left its Sequoia holding untouched.
On December 6 last year, Sargon's interest in Sequoia was largely the same.
But the shares went from being held under Sargon Capital Pty Ltd (currently in receivership, through the Chinese lenders) to being held under SC Australian Holdings 1 Pty Ltd (also currently in receivership, through OneVue).