
A solvent Liquidation that facilitates the closure or restructure of a company's business. It provides for all creditors to be paid in full (together with interest) within twelve months and for the distribution of surplus assets to its shareholders.
This allows for certainty in the cessation of a company's affairs.
Section 110 Arrangements
This Arrangement allows a Liquidator to accept shares in a company as consideration for the distribution of assets of the company being wound up.
It is used for company demergers and reconstructions and in both scenarios tax benefits are always important factors.