We recently acted for a director facing a brutal reality. He controlled several companies, but the beneficial owner of the shares was manoeuvring to wrest control from him. On paper, the shareholder had the numbers. In practice, if he succeeded, the companies would be stripped, the workforce destabilised, and value destroyed.

The director had two choices:

1. Roll over and watch everything collapse.
2. Fight back — strategically.

He chose option two.

By placing the companies under business rescue, he created a shield:

• The companies gained immediate protection from creditor and shareholder interference.
• Day-to-day control shifted to the business rescue practitioners — but the director remained central to operations, guiding them alongside the BRPs.
• Most importantly, the beneficial owner’s attempted takeover was frozen in its tracks.

This was not “delay.” It was defence by design.

WHY THIS MOVE WORKED

Business rescue is not liquidation. It does not strip a company of life — it preserves it. And that legal framework can be leveraged not just for financial survival, but for corporate control.

In this case, rescue:

• Stopped interference from the shareholder.
• Protected the companies from being asset-stripped.
• Gave the director space to restructure and stabilise operations.
• Brought creditors into a structured process rather than chaotic litigation.

The key? Using business rescue proactively rather than reactively.

THE BIGGER PICTURE: RESCUE AS STRATEGY

This case highlights a truth that many directors miss:

Business rescue isn’t always about insolvency. Sometimes it’s about control.

• Directors can use rescue to resist hostile moves from shareholders.
• Creditors can use rescue to keep companies alive long enough to recover more than in liquidation.
• Practitioners can use rescue to restructure industries, not just businesses.

Handled correctly, it becomes a corporate shield and a sword in the courtroom.

WHERE WE COME IN

At June Stacey Marks Attorneys, we don’t treat business rescue as a “tick-box” procedure. We fight for it as a strategy:

• Advising directors when rescue is the strongest move to protect control.
• Acting for BRPs in High Court battles against obstructive shareholders and creditors.
• Building legally sound plans that withstand challenge.
• Litigating every step — from urgent interdicts to creditor disputes.

No advocates. No hand-offs. One strategist from start to finish.

THE TAKEAWAY

Business rescue isn’t just a life-support system for struggling companies. In the right hands, it’s a power move — one that can keep directors in the game, protect value, and neutralise hostile forces.

In high-stakes corporate warfare, timing and strategy matter. Rescue done late is survival. Rescue done right is victory.

Call 011 262 0470 / 073 190 3712 for a confidential consultation.

email: junemarks@icloud.com

June Stacey Marks Attorneys — Litigation is Combat. Business Rescue is Strategy.

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