A company is in administration and the creditors want 800k. One of creditors (C1) wants 700k. The company has an asset in a form of a land worth 500k
Could the land title be transferred to another company with the following offer:
1-The new company wants to pay 50% cash
2-out of the 250k cash, 100k to be paid to clear all creditors except (C1)
3-The remaining 150k to be paid to the to (C1)
4- the unpaid 50% of the land, the 250k, to be used by the (C1) as a loan to the new company (the buyer) in exchange for profit sharing after developing the land by a buyer.
Could the above arrangement be considered for CVL - Company Voluntary Liquidation
and if so when will the company in administration be officially closed and the administration terminated. Will it be when the sale of the land to the buyer is completed which could take few months
Or after creditors (C1) is paid following the development of the site by the buyer which could take 2 years.