Fifty jobs have been saved in Bristol by the successful sale out of administration of an oil and gas engineering company.
The engineering division of DPS (Bristol) Ltd, based in Portishead, Bristol, who develop and engineer oil and gas solutions to major corporations across the globe, has been sold to Penspen Process Ltd. The sale was managed by Neil Vinnicombe and Simon Haskew, partners at south west-based corporate recovery specialists Begbies Traynor.
Neil Young, who was managing director of the company, will continue to play a role in running the business.
The sale of the division - which comprised the majority of the £18m turnover business, which was secured through a sale out of administration - has protected the jobs of staff in its engineering division for the foreseeable future while also securing the best possible outcome for creditors.
Mr Vinnicombe said: “Following the withdrawal of financial support from its majority shareholder, the business was suffering from cash flow difficulties. It became clear that administration and subsequent sale was the only realistic option for ensuring the continuity of business, preserving jobs and securing as much as we could for creditors. Had the sale not been achieved the company would have to be placed into liquidation and all jobs lost.
“Following our appointment last Tuesday (September 9, 2014) we have worked hard to sell the engineering division of the business, preserving 50 jobs. We hope to secure a purchaser for its remaining technology and environmental divisions in the next few days, which should hopefully save all of the remaining jobs (67 in total)”.
Penspen Process Ltd are part of Penspen Ltd, a UK firm, who provide engineering and management solutions to the oil and gas Industry, employing over 1,400 people in 15 locations worldwide.
DPS (Bristol) Ltd had been trading for over ten years. The sale was completed on September 12, 2014.
Neil joined Begbies Traynor in 2003. He successfully sat the JIEB exams in 2005 and is a Licensed Insolvency Practitioner. He has 29 years' insolvency experience having previously worked at KPMG, Ernst & Young and Grant Thorton in Bristol.
He has a broad range of experience in Corporate Recovery and Rescue and works from the Bristol and Bath offices.