Hargreaves Services has purchased civil engineering and earth moving group Pryor, after the latter was placed into administration.
Pryor had been poised to enter administration since January “owing to a severe short-fall in working capital”.
In a statement issued today FRP Advisory said the sale of the ongoing business, trade and certain assets to Hargreaves (UK) Services, a subsidiary of Hargreaves Services, had secured the future of the Harlow-based business.
FRP said Pryor has since the final quarter of 2015 faced a severe short-fall in working capital. The pressure on cash-flow resulted on 19 January 2016 in the group filing an initial intention to appoint administrators in order to secure the business's current ongoing work and assets in the interest of all its stakeholders.
FRP said it had received 40 expressions of interest for the business once it began marketing it after this time, with Hargreaves granted a period of exclusivity after being identified as offering “the best solution for all concerned”.
Glyn Mummery, partner and joint administrator at FRP Advisory, said: “The sale of this long established business to Hargreaves is good news for all concerned - the ongoing construction contracts which depended on the business' earth moving expertise and of course the regional economy.
“We would like to thank a supportive customer base who, together with a loyal workforce, helped see the business through the administration process. We wish all concerned under the new ownership of Hargreaves, an established operator in the construction market, the very best for the future.”
FRP added that the sale should create a number of opportunities for the 60 staff that continued to be employed by the group throughout the transitionary period of the past few weeks.
Hargreaves Services recently revealed a tough trading year itself, with a number of elements conspiring against it.
