8:15 is the Phil Upton Show. At 8 they have a longish news slot, followed by weather. At around 8:15 they have a slot called Good Morning, Bad Morning. This morning the first story was Mike Ashley and Sports Direct possibly opening up that new place. It quickly descends in to Trivia usually, for example, Deliveroo offering finance for food purchases.
Thanks!
But, and this is important, we are as mushrooms in this. What could have happened already? Just supposition ...
Wasps approached an Insolvency Practitioner (IP) who agreed to act should the decision be made, and Wasps asked that IP to talk with the creditors in advance, to get a creditor's committee together (typically representing more than 50% of creditors by total debt). Usually, HMRC are in there. Many creditors give their proxy to the IP.
So that, by the time the Court approves the administration, a so-called pre-pack is in place.
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That’s almost like an episode from ‘hustle’ .
I've been saying for a while that pre-pack looks the most likely option if Wasps are to survive and that's an excellent explanation form NWW on the way it works in practice.
There's nothing illegal or even immoral about it (IMHO but I'm sure that some will disagree). Its a sign that absent the major debts the underlying business is solvent.
More importantly, whoever buys it has convinced the creditors that with some restructuring of the debts and their business plan they are capable of paying the creditors more than they would get if the business was liquidated and sold piecemeal or in a fire sale.
The reason it goes in to administration is to take control away from existing shareholders, usually because the management would prefer the creditors took their proposed restructuring. In this case the management and shareholders are largely one and the same, but think big listed companies.
This is the bit some people think immoral because the shareholders have now lost their business and unless there's something in the pre-pack get nothing. The thing is, if the business was liquated they are at the very bottom of the pecking order and will
in all likelihood get nothing anyway. Its brutal, but that's what being a shareholder means, you get the profits even when they are windfall profits. They are the ones that allowed the situation to arise as well, but its hard not feel sorry for them in this situation.
The very big plus side is that most of the employees get to keep their jobs and usually small creditors eg local suppliers get paid off as well, but that's not a given.
Always a Wasp