Dolphin Music sold in pre-pack deal

DOLPHIN Music, a Speke-based retailer of musical instruments and equipment, has been bought out of administration by competitor firm S&T Audio.

Dolphin, which also had a shop in Liverpool City centre, had grown rapidly throughout much of the past decade and had appeared in the Sunday Times Fast Track 100 in 2006 and 2007 as its turnover peaked at around £10m.

The business was co-founded by former University of Liverpool students Rob Williams and Jason Tavaria.

Mr Williams won a Young Director of the Year at the Institute of Directors North West award in 2008 recognising the company’s achievements, but later died in March 2009 following a snowboarding accident in the ski resort of Verbier.

In recent years Dolphin had suffered a decline as a result of the recession and was acquired by S&T Audio for an undisclosed sum following a pre-pack deal arranged by Manchester-based administrators Beever & Struthers.

S&T Audio operates nine musical instrument superstores around the UK, including one at Regent Road in Salford under the PMT (Professional Music Technology) brand. It also operates a website, PMT Online, and in the year to April 2010 achieved a turnover of more than £16m.

Charles Macmillan, partner and head of corporate recovery at Manchester-based Beever and Struthers, was appointed by Dolphin to act as administrator and secured the sale of the business via a pre-pack administration.

He said: “I’m obviously delighted to save a great many valuable jobs by achieving this sale in what are very difficult times and wish S&T every success in its future endeavours with Dolphin.

“This acquisition is a major boost to the PMT online offering of S&T Audio and will increase its already impressive market share.”

Simon Gilson, manging director at S&T Audio, said: “We are very excited by this opportunity. As with our own beginnings twenty years ago, this business was built from scratch by two friends from nothing into a major force in music retail.

“It is our intention to build on the strengths of Dolphin and capitalise on the future possibilities of what is now the largest musical instrument retailer in the UK.”

The Manchester office of law firm Gateleys provided legal advice on the deal.