Project
BTG Eddisons was instructed to support the administration of an engineering and manufacturing business in the Midlands after the company experienced significant cashflow difficulties. Initial concerns centred around landlord pressure and the potential need for an accelerated asset disposal process to protect value for creditors.
The objective was to assess the available options and determine whether a business sale could be achieved before a break-up sale of assets became necessary.
Approach
David Ross and our asset sales team in the Midlands initially provided valuation advice and prepared the business for a potential short-notice asset sale in response to the immediate pressures facing them.
Following discussions with key stakeholders, additional time was secured from the landlord, creating an opportunity to pursue a business sale strategy. The team launched a targeted marketing campaign, focusing on potential purchasers within the rail sector alongside other strategic trade buyers with an interest in the engineering and manufacturing market.
By combining restructuring expertise with a proactive sales process, BTG Eddisons was able to generate interest from suitable buyers whilst maintaining momentum under challenging timescales.
Results
The business was successfully sold out of administration to an industry trade buyer for £700,000, preserving greater value than would likely have been achieved through a standalone asset disposal process.
Despite significant time pressure and the risk of an enforced closure, BTG Eddisons delivered a positive outcome for creditors by securing a going-concern sale and facilitating a smooth transaction within a highly challenging environment.
