Almost 50 jobs have been saved at a Doncaster construction business after it was acquired out of administration in a pre-pack deal.
Denton & Nickels Ltd called in Leonard Curtis Business Rescue and Recovery, part of the Leonard Curtis Business Solutions Group, on 5 January 2018 with Richard Pinder and Sean Williams appointed as joint administrators.
Denton & Nickels specialised in the provision of building, plumbing and electrical services to the construction sector.
The company suffered losses as a result of increased labour requirements on contracts and accounting irregularities. Although they had engaged the services of a forensic consultant to resolve the issues faced, this proved unsuccessful.
As a result of this, its working capital was compromised and legal action was threatened by creditors.
In order to preserve the business as a going concern the administrators concluded a pre-packaged sale to a connected party after a period of marketing. This resulted in the transfer of all 48 employees to the purchasing entity.