liquidationnoun [ C or U ]
uk/ˌlɪkwɪˈdeɪʃən/usLAW, FINANCE a situation in which a company stops operating and sells all its assets in order to pay its debts:
go into liquidation After three years of heavy losses the company went into liquidation with debts totalling £100 million.
put sth into liquidation They were forced to put the company into liquidation in June.
ACCOUNTING, FINANCE a situation in which an asset is sold in order to get cash:
Analysts generally regard the liquidation of shares by corporate insiders as bad news.
See also
compulsory liquidation
forced liquidation
involuntary liquidation
voluntary liquidation