What is an Asset Stripper?
Asset strippers are a form of corporate raiders that focus their attention on a target company. The goal is to gain ownership and control of the company over time. Once the company is in the control of an asset stripper, various assets of the company are sold off, often in order to handle the outstanding debt incurred when gaining control of the company. The strategy involves making sure there is a strong chance that once a portion of the company’s assets have been sold, the remaining assets will still be sufficient enough to operate the company at a profit or make the company attractive to potential buyers. An asset stripper has to work in a systematic pattern. Before beginning the process of gaining control of any company, it is important to research the corporation thoroughly. This will entail identifying every asset currently within the control of the corporation, and determining the amount of any indebtedness owed by the company. Once it has been established that the corporation m
