John Dunlavy was the heart a soul of the Dunlavy speaker. When he left, it was only a matter of time before the reputation fell and the company closed. It was a very sad day in the audio industry when one of the top designers retired, but that is life. The worst thing in my mind is there are very few designers who can fill his shoes. The Dunlavy speakers were and are a great value, affording the highest quality sound for a reasonable price.
Given the fact that they had redesigned the III line my assumption is that someone will buy the facility and continue with the Dunlavy line. The hope would be who ever that buyer is recognizes the need to have John involved. If someone could keep John retained as a design consultant and have the facility he created, the line could continue and grow.
For those who somehow feel the lose of another high end manufacture is a good thing, I recommend you look deep in yourself and find out where that hate comes from. It's not needed here.