Interserve, one of the UK’s largest providers of public services, is urging shareholders to back a rescue deal or the firm could face administration.

Last month it reached a deal with creditors to prevent its collapse.

But if shareholders reject its debt-for-equity-swap plan in a vote this Friday, Interserve’s lenders could apply for a pre-pack administration.

This would mean the firm avoiding a Carillion-style collapse, but would wipe out existing shareholders.

A pre-pack administration enables a company to sell itself, or its assets, before it appoints administrators – who then take over the running of the business to protect creditors.

In a pre-pack,

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