If close down is really an option being contemplated by LH then they would probably simply pull the plug by putting in a liquidator and walk away from the whole thing including the pension scheme. Financially that would be a lot better for them than the deal on the table, but reputationally it would be disastrous. Can't see them doing it. It's an attempt to get the EC to roll over quietly.
DLH have already set fire to over a Billion euros in the bmi group. Why should they care about reputation?