Privately owned firm steps in to rescue struggling care home business
A privately owned firm has stepped in and bought troubled care home operator Allied Healthcare.
The deal involving North West based healthcare firm CRG will mean that 13,0000 elderly people will continue to receive care and accommodation.
CRG is a UK leader in the home care, healthcare, social care and education staffing sectors.
All care and support service contracts provided by Allied Healthcare, including the Primecare and Firstcall businesses, will be transferred in their entirety to CRG as part of the undisclosed deal.
Ian Munro, group chief executive at CRG, said: “The ultimate priority for CRG is to offer an unrivalled continuity of care for all Allied Healthcare service users and provide a stable and supportive environment for all carers who will continue to deliver services across all contracts.
“The Allied Healthcare name will not change – it’s very much business as usual.”
The company urged all stakeholders, including local authorities and regulatory bodies, to work with them in the transfer of services.
Allied Healthcare provides a broad range of services, including personal care and support, medication management, meal preparation and social inclusion.
Tristan Ramus, chairman of HCRG, said: “CRG is a health care business. We have no intention of breaking up Allied Healthcare and our aim is to ensure that no part of the country is left abandoned by this transfer of all services.
“We intend to bring the care provider back to full strength; however, this will require time and the full support of all stakeholders.”
CRG is a privately-owned and run business that operates in the education, health, social and home care sectors under brand specific identities supplying services and staffing. It is all encompassed under the group structure of Health Care Resourcing Group (HCRG).
Ian Munro said: “What this transfer of services demonstrates is not only the scale of our business, and the ability to meet high levels of demand across a wide range of sectors, but our unwavering commitment to service users across the country, whether it’s in social care or education.
“Allied Healthcare is a natural and excellent fit for CRG, which has been operating successfully across the sectors it works in for over 18 years, and we would encourage carers across the UK to join us in helping deliver the same levels of exceptional care service users have become accustomed to from the HCRG Group. We want to secure the long-term sustainability of Allied Healthcare, under our management.”
Earlier this month, the CQC issued a notice, warning that it had serious doubts about the future of the company – the first time the regulator has issued a first corporate level Stage 6 notification about the financial sustainability of a social care provider.
Allied Healthcare informed the Care Quality Commission, which regulates such services in England, that it was seeking to transfer or sell all its contracts to other providers.
CRG was established in 2000. With group turnover on target to reach £310 million by 2019, the company specialises in the supply of temporary and permanent workforce solutions in all the markets they operate in.
Head-quartered in the North West CRG has an extensive portfolio of clients, covering both the public and private sectors.
It is the preferred supplier to major public sector organisations including the NHS, and Ministry of Defence as well as police authorities, UK Border Force and national supply to local authorities.
CRG, which now has over 9,000 contractor staff across the UK, has seen strong growth during the past two years organically and through acquisitions.
HCRG Group CEO Ian Munro, Chairman Tristan Ramus and CFO Jamie Webb led and managed the transaction for HCRG.
Due diligence was carried out by SJB and legal advice was provided by Hemingway’s. On the sell side, PWC advised the shareholder and Pinsent Mason provided legal support.
