Northants recruitment business saved by pre-pack sale

A Northants-based recruitment business, with more than 480 temps on its books, has been saved following a pre-pack sale.

Diamond Recruitment Services operated in the driving, industrial and commercial recruitment sectors.

Licensed insolvency practitioners Lisa Hogg and Emma Bower both of Yorkshire-based insolvency specialists Wilson Field were appointed as joint administrators on 1 September 2017 after HMRC issued the threat of a winding up petition.

The business and assets have been sold for an undisclosed sum to the existing management team.

The pre-pack deal saved all nine permanent staff jobs at the business established in 2008.

Emma Bower from Wilson Field said: “Wilson Field first became involved back in July when the company sought advice relating to the future viability of the business and accrued HMRC arrears.

“Interest in purchasing the business was shown by a third party who subsequently withdrew.

“The existing management team bought the company, which had 480 temps on their register and at time of our appointment, with some 220 of those in employment.

“In addition to saving jobs, the prepack procedure mitigated claims and associated costs relating to permanent and temps estimated at over £105,000.”

Valuation and asset sale was lead by Ian Maycock at Charterfields.