Troubled UK distributor Downtown Pictures has won a stay of execution by securing a Creditors Voluntary Agreement (CVA), according to the company's financial head, Simon Clement-Davies.
The distributor secured 93% approval from its creditors, who agreed that Downtown's debts would be paid back over a period of time. Clement-Davies declined to comment on the level of the company's debts.
"The company is now trading in a solvent position," he said.
Clement-Davies confirmed that Downtown co-founder Alan McQueen has resigned. He added that the move was "very much by mutual agreement".
Downtown is best known for handling Gods And Monsters and Summer Of Sam. Other pick-ups include Pandaemonium and The Circle.