ASSETS of media company The Dunfermline Press have been bought by its directors in a move backed by its main creditor.
The newspaper publisher, which was working under a debt burden of around £28 million, recently appointed receivers from accountancy firm PwC.
A pre-pack deal to acquire the assets was agreed with Clyde and Forth Press managing director Graham Morrison, Dunfermline Press finance director Graham Faulds and new non-executive chair John Allwood.
The trio said in a statement: "Having worked within the business for a number of years, we are delighted to be able to participate fully in the future development of this business."
The newly formed Romanes Media Group, named in tribute to former Dunfermline Press owner Deirdre Romanes who died two years ago, is operating with a debt of £18.5m following a debt for equity swap with Lloyds Banking Group. The bank is understood to have a 19.5% stake but would realise around 85% of the proceeds if the business is sold.
The deal was structured in order to avoid legal complications which could arise from the estate of Deirdre Romanes. Staff and suppliers will not be affected.
Romanes Media controls Scottish titles such as the Greenock Telegraph and Helensburgh Advertiser plus Northern Irish title The Impartial Reporter.
Bruce Cartwright, head of business recovery at PwC in Scotland, said: "The restructuring of the holding company, supported by such an experienced management team, is an extremely positive step for the business, its employees, its customers and all its associated suppliers."
In its last set of accounts filed at Companies House, The Dunfermline Press had turnover of £20.8m and pre-tax profit of £1.26m in the 12 months to April 3, 2010.
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