End to Railtrack administration in sight
Railtrack could come out of administration as early as the end of this week or next week, Accountancyage.com has learned.
Private company Network Rail put forth a proposal to acquire the beleaguered rail company and is in ‘the final stages of discussions’ with banks and parent company Railtrack Group, according to a spokesman.
He added there would be an ‘early announcement’ concerning the deal
The proposal by NR, which is a debt-financed company limited by guarantee, was put forth on 25 March. Under its terms, Railtrack Group would receive £500m for its subsidiary.
Sources close to Railtrack have confirmed the deal with NR would put Railtrack out of administration.
NR chairman Ian McCallister would become chairman of Railtrack if the deal goes through.
McCallister is the former chairman of Ford UK and reputed to have brought the car company out of financial difficulties.