gandalfq01
First off, good luck with your situation.
I understand that a corporation can sell the operations and keep the corporation name/shell, but that is a totally different scenerio then what is presented here.
This is a takeover, but not of business, goodwill, assets and liabilities, but of the governing shell over those operating pieces.
I am not even saying it definitely cannot be done, I just have yet to find the regulation over the shell that would allow for it to seperate from operations in bankruptcy without trustee approval, bankruptcy discharge and zero liability of pending legal action or previous debt.
All the while keeping share structure in tact which would include officers of the now formal operations which probably have a hefty bag of dividends slightly past due in prefered form.
The only way I have worked it out an angle here is if bankruptcy was granted which leaves an empty shell with billions of new shares to raise money and a silver platter of prefered shares for the new board. Could the bankruptcy judge cancel the prefered shares only? I do not know if that is an option or not, but that is not how it is commonly done.
Since you are probably going through a legal firm familiar with corperate law to process your business transaction, it might be an interesting conversation to have whilest you are signing and initialing a triplicated sea of documents!
Anything shared from such a conversation would probably be
most welcome and informative than 99% of what one has to sift through here.
Regards,
Fizzlegig
