The company, which extended its suspension for the third time since going into a trading halt on April 11, said it expected to make an announcement tomorrow.

For the first time, Padbury formally confirmed the identity of the involved parties after media reports named them last week.

The proposed backers are Alliance Super Holdings and Superkite.

ASH is 96% owned by Superkite and 4% owned by Alliance Capital Holdings, while Superkite is a wholly owned subsidiary of Kirep, a company controlled by Roland Frank Bleyer.

The Sydney-based entrepreneur is known as the “hair regrowth king” through his former hair and skin clinics.

Padbury has had queries from the Australian Securities Exchange and the Australian Securities and Investments Commission regarding its vague April 11 announcement.

Shares in Padbury rose as much as 160%, to 5.2c, on the day the news broke, before settling at 3.3c, a 65% gain. The stock then went into a trading halt with nearly 200 million shares traded.

Padbury has promised to release the material terms of the shareholder agreement, which were absent from the initial release and details of any shareholder approvals and security.

The investors propose to take a 64% stake in Padbury subsidiary Midwest Infrastructure (MWI), owner of the intellectual property of Yilgarn Infrastructure, which bid to build Oakajee in 2008.

Padbury will retain 36% of the company and can claw back to 49% once the private investment has been returned.

The first tranche of $470 million will pay for the update of the prefeasibility study, the completion of design and construct specifications and the beginning of early civil works over the next nine month, while the remaining tranches of $6 billion will be used for construction.