Last October, as highlighted in this newspaper, Anderson increased his stake in the cosmetics and toiletries group from 2% to 4.8%, even as negotiations that could deliver a serious wallop to shareholders were going on behind the scenes.

IWP shortly afterward issued a statement clarifying that the board wished, in response to press comment, to "emphasise that any restructuring of the company's debt and capital structure is likely to result in a significant dilution of value for the company's shareholders".

Under the terms of last week's document only 10% of the company will remain in the hands of the existing ordinary shareholders.

IWP is in hock to the tune of 120m to secured creditors. If the proposed restructuring goes ahead, those creditors will convert 55m of this debt into 90% of the enlarged equity.

Shareholders who want to cash out will get just 3.5c per share.

There is a consolation prize, though, for finance director Paul O'Brien, who was involved in a failed management buy-out attempt. O'Brien will stay on the board of the new company. He also stands to get a 50,000 bonus for the successful completion of the restructuring, on top of his annual 250,000 salary and 25,000 car allowance.

Advisers to the restructuring, among them Goodbody Stockbrokers, will get the biggest bonus though, standing to earn a combined total of 10.8m in fees.