Listrac Midco Ltd & Ors, Re [2023] EWHC 78 (Ch) (23 January 2023)

Listrac Midco Ltd & Ors, Re [2023] EWHC 78 (Ch) (23 January 2023)

The court held that the proposed class composition for creditor meetings is appropriate, that B shareholders' rights are not affected by the Plans within the meaning of s.901C(3) CA 2006 as their rights have no economic value in the relevant alternative, and that all jurisdictional and procedural requirements for convening creditor meetings under Part 26A CA 2006 are satisfied.

Citation
[2023] EWHC 78 (Ch)
Parties
Applicant Company: Listrac Midco Limited; Applicant Company: Listrac Bidco Limited; Applicant Company: Lifeways Finance Limited; Applicant Company: Lifeways Community Care Limited; Applicant Company: Living Ambitions Limited; Applicant Company: Autism Care (UK) Limited; Applicant Company: Vitavia Property Management Limited; Objector/respondent: Mr Justin Tydeman
Jurisdiction
England and Wales
Judgment Date
23 January 2023
Procedural Posture
Insolvency/restructuring Plan Convening Hearing / Application for Order to Convene Creditor Meetings Under S.901 C(1) Companies Act 2006
Outcome
Application granted
Legal Topics
Restructuring Plans, Class Composition, Jurisdiction Under Companies Act 2006 Part 26 a, Creditor and Member Rights, Notice Requirements, Landlord Claims in Restructuring, Employee Claims in Restructuring

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Parties

Listrac Midco Limited

Applicant Company

Listrac Bidco Limited

Applicant Company

Lifeways Finance Limited

Applicant Company

Lifeways Community Care Limited

Applicant Company

Living Ambitions Limited

Applicant Company

Autism Care (UK) Limited

Applicant Company

Vitavia Property Management Limited

Applicant Company

Mr Justin Tydeman

Objector/respondent

Procedural Posture

Insolvency/restructuring Plan Convening Hearing / Application for Order to Convene Creditor Meetings Under S.901 C(1) Companies Act 2006

  1. 1 Whether the court should order meetings of creditors for proposed restructuring plans under Part 26A CA 2006
  2. 2 Whether the proposed class composition for creditor meetings is appropriate
  3. 3 Whether B shareholders are entitled to a meeting as members under s.901C(3) CA 2006

Ratio Decidendi

The court held that the proposed class composition for creditor meetings is appropriate, that B shareholders' rights are not affected by the Plans within the meaning of s.901C(3) CA 2006 as their rights have no economic value in the relevant alternative, and that all jurisdictional and procedural requirements for convening creditor meetings under Part 26A CA 2006 are satisfied.

Court Disposition

Application granted

Orders

  • Meetings of creditors of each Plan company to be convened as proposed under s.901C(1) Companies Act 2006
  • Arrangements for notice and conduct of meetings approved