U.S.-based Vivotech is moving closer to liquidation, with the NFC company confirming that it recently entered into an assignment for the benefit of creditors agreement, a process by which the company’s assets would be sold to pay creditors.
An assignment for the benefit of creditors is an alternative to bankruptcy for insolvent companies in some states, including California, where Silicon Valley-based Vivotech is located.
Vivotech, in late July, in response to a story by NFC Times that it would cease operations, insisted that it would continue operating as an NFC software company. The company, contending that its “business fundamentals are strong,” said at the time that the planned sale of its contactless reader business was moving more slowly than expected.
