Linder Myers close to solvent deal with creditors
TROUBLED law firm Linder Myers is set to be restructured on a solvent basis, TheBusinessDesk.com understands.
Partners are close to hammering out a deal with the firm’s creditors and are being assisted by specialist business consultancy Assure Law, which is run by Tony Stockdale, a former managing partner of national accountancy firm Bentley Jennison.
When the deal is agreed – which it is expected to be in the next week – Assure Law will help Linder Myers’ management team to run the business and plot a path to growth.
The debt restructuring deal, which does involve some new capital being introduced, will see creditors achieve a better outcome than they would have under a pre-pack administration. On Monday one likely suitor, Midlands firm HCB said it had ended its interest in the Manchester firm.
Mr Stockdale told TheBusinessDesk.com that Assure Law was not looking to buy Linder Myers, but had been working with the firm for “several weeks” on an advisory basis.
He said: “Assure Law is working with the partners of Linder Myers to achieve a successful conclusion to their situation. I am very hopeful this will be the case and would like to thank all the stakeholders at Linder Myers for their assistance and support.”
The firm would “move forward as Linder Myers” – without entering administration, he added.
Linder Myers, which announced its intention to appoint administrators after a period of tough trading on February 7, declined to comment.
The £18.7m turnover firm, which has offices in Manchester, Preston, Chester, Lytham and Shrewsbury, employs 260 staff and 51 partners.
Should the firm successfully conclude a solvent restructuring deal, it could be a blueprint for other distressed practices to continue without having to go through administration, which is both stressful and damaging to partners’ reputations.
