Babcock & Brown is expected to become the latest big- name victim of the credit crunch with the start of a two-year winding down process this week.
Lenders to the company will decide Babcock's fate by the middle of the week, with a source close to the business suggesting that they are leaning towards selling off assets "in an orderly fashion".
Other options are liquidation – with a fire sale of core assets in an awful economic climate – and the continuation of successful divisions, as suggested in a last-ditch business plan. Although assets are never likely to regain their pre-credit crunch market values, it is thought a reasonably paced disposal programme will garner the most money.
Independent on Sunday