That’s true, which is often a reason that people don't buy failing companies at all, instead buying selected assets (including things like the trademarks and brands) and letting the actual original company go out of business.

This can happen in bankruptcy, particularly, but that's not the only way it happens.

They're saying they didn't buy the company - just some assets they liked, among them an intangible one: the brand...

Yes, this is it. What is a company? Can you buy all the fun stuff and leave the liabilities?

For unencumbered assets I don't see why not, but extending this logic to the brand seems fraudulent: It's unlike other assets because the (original) company crafted it to represent the whole service in the mind of the customer.

I’m curious to know what the announcements to existing customers said when they were transferred to the new company. I doubt it read: “the company you signed up with is bankrupt, but we cherry-picked its assets - want to go with us?”

Yes, I agree. But I can see how it's nebulous if you peer closely enough that you can't see the wood for the trees.

The company that bought it is owned by the same guy. He knows it's bullshit.

yes, what happened to due diligence? sounds like a BS excuse to cancel the subs.

They did due diligence.

They're lying.