Date Published: 5th April 2012
The assets and business of Somerset-based mobility furniture specialist The Great British Mobility Group Ltd have been sold by administrators securing jobs for 27 staff.
The business that was based in Hewish outside Weston-super-Mare sold bespoke rise and recline chairs and electric adjustable beds for the elderly and people with disabilities. It had employed a total of 37 staff prior to its failure due to losses made over recent years as sales did not keep pace with overheads.
Ken Pattullo and Simon Haskew of Begbies Traynor were appointed as joint administrators to The Great British Mobility Group Ltd on 19 January 2012 following the collapse of the firm under debts to trade creditors totalling around £3m.
Great British Mobility has been bought by former supplier and major creditor Mobility Rental Group Ltd in a deal that sees all 27 remaining staff transfer under TUPE regulations, as well as underwriting some of the debts of the business.
During the past month, administrators from Begbies Traynor and dealmaking experts at BTG Corporate Finance in the firm’s Glasgow and Bristol offices have been working closely to market the firm widely in order to secure a buyer for the business and its assets.
Initial discussions were held with 15 interested parties and two formal offers were received for the business, but only one that saved the jobs of the 27 remaining employees.
“We talked to a great number of interested parties, but ultimately received two offers, and the deal put forward by Mobility Rental Group offered the best return for creditors, but also gave the remaining staff continuity of employment, and a more secure future,” said joint administrator Ken Pattullo.
“Fundamentally the business can operate profitably going forward from a leaner cost base with fewer staff and overheads as there is still significant demand for its products,” he added.
Mobility Rental Group will trade using the Great British Mobility brand, and it is understood that all customer orders will be fulfilled under the terms of the deal.
Simon has over 25 years mid-market corporate restructuring and insolvency experience across a wide range of industry sectors, as well as broad experience in all aspects of personal insolvency. He joined Begbies Traynor as a partner in 1999 after a formative career with Ernst & Young in Bristol and London. He is a member of the R3 General Technical Committee and recently served as the Examiner of the “rescue” paper for the JIEB exam.