Press Trust of India / London Oct 08, 2009, 14:10 IST
British lawmaker and industrialist Karan Bilimoria, the founder of Cobra Beer, has pledged to pay back creditors who lost 70 million pounds when the company went into a pre-pack administration.
A pre-pack is the process of selling the assets of a company immediately after it has entered administration.
Bilimoria said that he hoped, over several years, he would be able to reach a settlement with the majority of unsecured creditors, including more than 300 small trade creditors.
He promised to repay a proportion from his share of revenues from the relaunched Cobra Beer Partnership — the joint venture that acquired the brand from administration in May after an attempt to push through a company voluntary arrangement was scuppered at the last moment.
The joint venture is controlled by Molson Coors, the North American brewer, which paid 14 million pounds for a 50.1 per cent stake, with Bilimoria and the other Cobra shareholders owning 49.9 per cent.
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