Glossary entry

Dutch term or phrase:

sterfhuisconstructie

English translation:

splitting up a company into viable and non-viable parts; asset-stripping [plan]

Added to glossary by Michael Beijer
Apr 2, 2016 14:18
8 yrs ago
5 viewers *
Dutch term

sterfhuisconstructie

Dutch to English Bus/Financial Law: Contract(s)
Constructie waarbij levensvatbare onderdelen van een bedrijf worden overgeheveld naar een nieuwe firma en de slechte onderdelen achterblijven in de oude firma, het sterfhuis, dat dan failliet gaat.
Change log

Apr 7, 2016 14:05: Michael Beijer Created KOG entry

Discussion

writeaway Apr 2, 2016:
Felonline (system won't allow adding to reference) sterfhuisconstructie [verkopen van rendabele bedrijfsonderdelen]

asset stripping [splitting up a company into viable and non-viable parts]

asset-stripping plan

crown jewel option
freekfluweel Apr 2, 2016:
corporate raid(ing) Moest aan de film 'Pretty Woman' denken:

https://en.wikipedia.org/wiki/Corporate_raid

http://www.encyclopedia.com/doc/1G2-2843000013.html

(niet mijn vakgebied)

Proposed translations

4 hrs
Selected

splitting up a company into viable and non-viable parts; asset-stripping [plan]

see e.g.:

"This commitment is also taken for the benefit of each of the entities resulting from the contemplated split-up of Dexia Bank Nederland N.V. in order to guarantee that third parties will not be prejudiced by such split-up, and it will be confirmed in the legal documentation evidencing such split-up (Dexia Bank and each of the entities resulting from the split-up being hereinafter referred to as the "Beneficiaries").

[...]

3.6 Hoewel in het kader van de onderhavige splitsing geen juridische noodzaak bestond om een additionele waarborg te verstrekken, heeft de uiteindelijke moedermaatschappij van DBN, Dexia S.A. er in het kader van de splitsing geen twijfel over willen laten bestaan dat zij ook onder de huidige omstandigheden pal achter DBN staat en zal blijven staan. Daartoe heeft zij de onder 1.a weergegeven toezegging (hierna de toezegging) gedaan. Dexia S.A. heeft zich daarbij verbonden om steeds zorg te dragen voor een zodanig vermogen van DBN en van Kempen dat zij steeds hun verplichtingen zullen kunnen voldoen, zelfs de vorderingen die Leaseverlies c.s. (dan wel de personen voor wie zij opkomen) denken te hebben. Hieruit blijkt volgens DBN ook dat er absoluut geen sprake van is dat DBN na de splitsing een 'sterfhuis' zal zijn. Voor DBN worden ook nieuwe producten ontwikkeld."

(http://uitspraken.rechtspraak.nl/inziendocument?id=ECLI:NL:R... )

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FELOnline:
sterfhuisconstructie [verkopen van rendabele bedrijfsonderdelen] =
asset stripping [splitting up a company into viable and non-viable parts]
asset-stripping plan
crown jewel option

JurLex:
sterfhuisconstructie =
split-up of a company into viable and non-viable units
Note from asker:
In the context of my document, this was the best option, indeed with the negative connotation.
Peer comment(s):

disagree freekfluweel : Exact hetzelfde voorstel stond al lang in de d-box. Deze dubbele copy/paste is totaal overbodig...
13 hrs
I entered it as an answer (w/ ref.) because I knew that writeaway wouldn't (as she no longer answers questions). Totaal overbodig is in the eye of the beholder. If either writeaway or Phil felt like entering it themselves, I'd gladly click Agree.
agree Kitty Brussaard
18 hrs
Thanks!
Something went wrong...
4 KudoZ points awarded for this answer.
+1
8 mins

hive-off of a reverted kind

hive-off of a reverted kind

Definition
hive-off in which a new company would be set up to take over healthy banking assets

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Note added at 9 min (2016-04-02 14:27:19 GMT)
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http://iate.europa.eu/SearchByQuery.do

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Note added at 24 min (2016-04-02 14:43:09 GMT)
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ECONOMY/TECHNOLOGY
Director Anton Hermus also stresses that this will not become a Scanfil scenario. “There is the demand from the external market. And there is also the pay factor. Thanks to technological changes we have been able to cut this to around 10% of costs.” Finally the new owner, Ton Plooy, commented from Dirksland (South Holland): “We have plenty of work and are looking for capacity. What we are definitely not seeking, therefore, is a hive-off of a reverted kind. We will be uptooling the factory in Geel.”
http://quod.lib.umich.edu/e/errwpc/public/a/s/j/asj4751.2007...
 
Peer comment(s):

agree Brian Quigley : this is the IATE definition
1 min
Thanks a lot! Greetings!
neutral philgoddard : I'm not convinced by this. It may be in IATE, but I can't find it in real life.//That's a translation from Dutch, probably by someone who's looked it up online. It doesn't even sound English: "reverted hive-off" would make more sense, but gets no hits.
11 mins
Example: http://quod.lib.umich.edu/e/errwpc/public/a/s/j/asj4751.2007...
neutral writeaway : Agree with Phil. IATE can be very helpful but the "English" can come from anyone and anywhere and imo this is one of those cases.
1 hr
Something went wrong...
+3
49 mins

"bad" company

"In late March, the Obama administration was considering plans under which both GM and Chrysler would be split into two companies, a “bad” company that would be liquidated and a viable “good” company (including most of the valuable assets) that would continue to operate."

I used to be an accountant, and I remember that the companies would sometimes be referred to as Good X and Bad X until the mess had been sorted out.

Here's another example:

"[This technique] has been utilised by some unscrupulous directors to evade their responsibilities by disposing of company assets to themselves or connected parties at a preferential figure, paying off personally guaranteed bank debts, and extending intra-company loans from the “bad” company to the “good”.

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Note added at 57 mins (2016-04-02 15:16:15 GMT)
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The exact translation will depend on the context. The text you've posted appears to be the Wikipedia definition, and I assume that's not what you're translating. You may have to say something like 'splitting the business into "good" and "bad" companies'.
Peer comment(s):

agree writeaway : Jein, your explanation is spot on but imo the 2 Dutch online reference resources (très chers) provide reasonable translation options (second one (Felonline) is in Dbox since a technical glitch won't post an addition to my reference.
1 hr
Thanks! Yes, those are good ideas, though they would depend on the context. "Asset stripping" has entirely negative connotations.
agree Michael Beijer : agree with your explanation, but would use a translation from FELOnline or JurLex
3 hrs
agree Kitty Brussaard : Agree with Michael
22 hrs
Something went wrong...

Reference comments

1 hr
Reference:

Jurlex fwiw.

sterfhuisconstructie
split-up of a company into viable and non-viable units
Peer comments on this reference comment:

agree philgoddard : So do you agree with my answer? :-)
0 min
I certainly agree with your explanation
Something went wrong...
3 hrs
Reference:

refs

FELOnline:

sterfhuisconstructie [verkopen van rendabele bedrijfsonderdelen] =
asset stripping [splitting up a company into viable and non-viable parts]
asset-stripping plan
crown jewel option
Peer comments on this reference comment:

disagree freekfluweel : Exact dezelfde ref stond al lang in de d-box. Deze dubbele copy/paste is totaal overbodig...
14 hrs
O ye, of little faith – I added it to the Reference comments section, not to garner Agrees, but so that the refs would both be in the Reference comments area, rather than in the Discussion entries area.
Something went wrong...
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