Administration/Pre-Pack
Saving a company often involves restructuring, where connected parties buy back profitable assets while liquidating the rest. This is commonly done through a “Prepack” process, allowing the restructuring to be completed quickly according to a planned strategy.
A professional valuation is crucial to ensure the transaction is fair and reliable, as creditors may challenge deals without it.
Transaction Assessment
Prepack administrations are frequently accused of undervalued transactions, but insolvency professionals are aware of these risks and rely on independent expert valuers like AMCO. We ensure all asset transactions are conducted at fair market value and withstand scrutiny.
Pre-Pack Purpose
The purpose of a “PrePack” is to allow an Insolvency Practitioner to achieve better value than in a forced insolvency. In this process, the company enters administration and is sold at a pre-agreed price to a preferred buyer.
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A “Real World” valuation is needed, considering both the distressed state of the company and what could be achieved with a three-month open market sale. The buyer must offer fair value, which, in most cases, should exceed the sum of the parts if sold piecemeal, factoring in liabilities like “TUPE” and actions benefiting all creditors.
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PrePack administrations often require swift execution. AMCO understands this urgency and can quickly assess the assets and deliver a reliable valuation within tight timeframes.
Contact Us
AMCO Agency Limited
First Floor
85 Great Portland Street
London
W1W 7LT
+44 7973 600 500