On Wednesday, guarantor lender Amigo said it expects the bankrupt firm to go into liquidation within “the next few months,” as it continues to wind down operations.
The firm stated that it was moving on with its plans to guarantee that it could repay as much of the money as possible.
The company’s executives indicated they are still looking for a purchase, but if no one steps up “very soon,” stockholders would be out of luck.
“The situation facing the company remains challenging for all stakeholders,” Amigo stated.
“The company continues to progress the orderly wind down of the business, ensuring we are able to maximize payments to redress creditors… while continuing to provide the best level of service and support for our employees.”Amigo Loans anticipates liquidation over the next several months.
“Since the group began to wind down, the company has been open to any expression of interest from third parties in all or any assets of the business,” it continued.
“The company remains open to valid expressions of interest in all aspects of the business.”
“However, if a viable alternative solution does not emerge very soon, the company will need to hold a separate general meeting in which shareholder approval will be sought to delist the company from the London Stock Exchange and enter the company into members voluntary liquidation.”
“In such a situation there will be no value remaining for shareholders.”
It would bring to an end a long-running tale involving a lender that offered loans at extremely high interest rates but was later shown to have misled many of its consumers.
Amigo was unable to pay when they claimed compensation. After several attempts to find a way out that would allow the company to continue operating, Amigo announced in March that it would liquidate the company, while leaving the door open to possible investors.