McAleese has gone into voluntary administration and its shares have been suspended from the Australian Securities Exchange after the transport group was unable to strike a deal to lower its property rental costs.
McAleese needed property group TTPH Pty Ltd to lower rents to waive rights to terminate haulage contracts to secure a recapitalisation deal with Hong Kong's SC Lowy.
The Australian Financial Review reported that McAleese sent a letter to SC Lowy over the weekend asking for a waiver on the TTPH condition, but the Hong Kong group refused to agree.
"The TTPH condition was not satisfied and the failure to meet that condition was not waived by the SC Lowy consortium, ending the forbearance arrangements with the SC Lowy consortium," McAleese said on Monday.
"As a result, McAleese's uncompromised senior debt and all accrued interest was immediately due and payable."
McGrathNicol has been appointed as administrators. McAleese's stock last traded at 2.5¢ after listing in November 2013 at $1.47 per share.
The administration filing means that a recapitalisation plan arranged by the company with SC Lowy will not go ahead.
But chief executive Mark Rowsthorn and SC Lowy are still planning to proceed with an "alternative transaction" and are putting together a Deed of Company Arrangement proposal for the administrators.
McGrathNicol said it would continue running McAleese's business while it reviews the company's operations, and said it was in "advanced negotiations" with the transport group's banks over a short term funding facility to provide working capital.
The administrators will continue the sale process for Cootes Transport.
The first meeting of McAleese's creditors is scheduled for September 8.
