THE ASSETS OF infrastructure company Mouchel have been sold to a newly incorporated company through a pre-pack sale arranged by KPMG.
Richard Heis, Ed Boyle and Jane Moriarty of KPMG were appointed joint administrators on Friday after shareholders rejected a proposed restructuring, forcing the company into administration.
Mouchel, which helps build and maintain the UK’s motorways, has now been sold to MRBL Limited, a new company owned by affiliates of its lenders – RBS, Lloyds Banking Group and Barclays – and the group’s management team.
The deal means that all of the group’s trading subsidiaries will continue to trade with no interruption to their businesses, KPMG said. No other company in the group will enter administration and suppliers, customers and employees are not expected to be materially affected.
Shareholders rejected a planned debt for equity swap whereby the group’s lenders would write off £83m of debt in exchange for an 80% stake in the new company.
“Following the rejection by shareholders of the company’s proposed restructuring plan, the sale via ‘pre pack’ was required to provide the business with as much stability as possible by quickly securing a new owner and finance for the business,” said KPMG partner and joint administrator Richard Heis.
“It has ensured continuity for the business’ subsidiaries, their suppliers, customers and 8,000 employees, whilst enabling the business to restructure, putting it on a stable footing for the future.”
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