When a company goes into administration, it hits a brick wall. A dead stop. But the directors will know in advance that it's going to go bust - so they talk to an acquirer about buying the assets and the goodwill for a knock-down price. This is 'packaged' as a solution to an administrator. The administrator can either kill the business (horrid) or say, 'ok, that looks a reasonable deal'.
That's roughly it Peter.
I've seen it happen a few times in my industry, fortunately I've never been in that position though.
PS - a pre-pack sounds to me like the magazine may come back. Otherwise why buy it? Not sure though
Last edited by Neilda; 05/03/16 07:20 PM.
