Consultant will sell assets to a newly incorporated company
Consultant Mouchel has announced it intends to file for administration after its shareholders voted against a proposed restructuring deal.
Mouchel intends to undergo an administration at group level and sell its assets to a newly incorporated company.
The company said in a statement to the stock exchange that it will apply to the High Court for the appointment of an administrator.
Mouchel said none of its trading companies would enter an insolvency process and all employees, customers and suppliers are expected to be materially unaffected.
The company has also requested that the UK Listing Authority suspend the company’s ordinary shares on the London Stock Exchange with immediate effect.
Mouchel announced a proposed restructuring deal on 2 August, which would have seen Mouchel’s bankers – RBS, Lloyds Banking Group and Barclays – take an 80% stake in the company, with the company’s management taking the other 20%.
In return the banks agreed to write off the company’s £87m debt mountain.
Mouchel said in today’s statement that it expects affiliates of RBS, Lloyds Banking Group and Barclays and the company’s management to ultimately take ownership of the company.
Mouchel said in a circular sent to shareholders in advance of this morning’s general meeting that it was drawing up an ‘Alternative Plan’ to achieve a restructuring of the company’s capital structure in the event that shareholders did not approve the proposed deal.
The firm said: “The company is in constructive discussions with its lenders, pension trustees and the pensions regulator and hopes shortly