During what circumstance does a company administration order become relevant?

A company administration order becomes relevant specifically when it is financially distressed and needs time to reorganize. This legal mechanism is designed to help insolvent companies that are unable to meet their financial obligations. By entering administration, a company is granted a temporary reprieve from creditors, which allows management the opportunity to restructure its operations and stabilize its financial situation.

The process provides a formal framework to negotiate with creditors while protecting the company's assets and ensuring that the interests of stakeholders are considered. It can also facilitate the sale of the business or specific assets, thus potentially preserving jobs and creating a viable entity moving forward.

In contrast, the other scenarios do not apply: a profitable company wouldn’t need such a protective measure; completing all debt repayments indicates financial health; and being taken over by another business typically does not involve administration but may rather entail mergers and acquisitions processes. Therefore, the focus on reorganization during financial distress is what makes the correct answer pertinent.