The Ince Group PLC - case update

The Joint Administrators of listed law firm The Ince Group PLC have released their proposals, providing an update on the pre-pack sale of the firm’s business and assets, the tasks remaining to be completed and the likely timing for an exit from administration, among other things.'

Ince ran into financial difficulties during the Covid-19 pandemic, and cited the length of the auditing process as putting increasing pressure on the cash flows of the business. Andrew Hosking and Sean Bucknall of Quantuma were appointed Joint Administrators on 28 April, 2023, and completed a pre-pack sale of Ince’s business and assets to national law firm Axiom DWFM Limited for total consideration of £2.2 million. Of this amount, £1 million has been received, while the remaining £1.2 million in deferred consideration will be collected as and when it falls due for payment.

Ince owes secured creditors almost £17 million in banking debt, including an estimated £15 million owed to Investec Bank. It owes over £41 million to all of its creditors.

The Joint Administrators anticipate that there will be insufficient funds to pay secondary preferential creditors in full or the unsecured creditors at all. The Joint Administrators expect the administration to conclude in approximately 30 months by exiting to dissolution. In the meantime, the Joint Administrators still need to collect the £1.2 million in deferred consideration from the purchaser and investigate the affairs of Ince.

The Joint Administrators’ proposals can be found HERE. They have been assisted by Pinsent Masons.