Key government contractor Interserve faces a crunch vote on Friday which could lead it into administration.

The outsourcing giant has been trying to persuade shareholders to back a rescue deal which would see 95% of the firm pass to lenders.

It reached a deal with creditors last month to prevent its collapse.

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

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

Simon Jack: Interserve facing administration Interserve agrees rescue plan with creditors

A pre-pack administration lets a company sell itself, or its assets, as a going concern, without affecting the operation of the business when administrators are appointed.

The administrators take over the running

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