Canny bargain-hunters seizing on the opportunity to buy a business while values are low are one of the drivers for acquisitions of insolvent firms in the UK more than doubling over the past year.
M&A analysts at insolvency trade body R3 also point to a slew of pre-pack administrations to account for the fact that one in every eight mergers and acquisitions throughout 2009 involved distressed businesses. The previous year there were 159 distressed acquisitions, accounting for one in 27 completed deals.
Research carried out by Experian Corpfin on behalf of R3 highlights that from October to December 2009 alone, 67 out of the 630 deals completed in the UK - one in nine of all deals - involved companies acquired out of administration or other formal insolvency procedures.
Peter Sargent, president of R3, commented that acquisitions of insolvent businesses have not only risen significantly but "remain high".
"While pre-pack administrations may account for some of these deals, others will be acquisitions by canny buyers taking the opportunity to pick up bargains while values are low,"' he continued. "Either way, these statistics represent businesses being given a second chance of survival." 
Bring to the market this leasehold specialist car sales and servicing facility located in Horncastle, Lincolnshire. The trade was established as a limited company in 2005.
LEASEHOLD
The company is an online vehicle purchasing platform, providing a fast, hassle-free car-selling service for the end user. A competitor to the likes of webuyanycar.com and Motorway, the company is a well-established online vehicle purchasing platform...
Bringing to the market this denim and casual wear retailer, boating a user friendly comprehensive online presence.
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