Wigan haulier Challenge Logistics and its recruitment arm have both been sold after the group collapsed into administration last week.
FRP Advisory was appointed to Challenge-trg Recruitment Group on 12 July and insolvency practitioners Martyn Rickels and Anthony Collier were able to immediately complete the sale of the businesses – one of them to William Stobart & Son.
FRP said the move protected the vast majority of both permanent and temporary roles at the companies.
The group was known to employ 320 permanent staff and around 13,500 temporary workers.
The recruitment and training businesses were acquired by CTRG, which is part of the Swipejobs Group, while the majority of the logistics business was sold to William Stobart and Son.
Joint administrator Rickels said: “We’re pleased to have secured a positive outcome that preserves the group’s core operations and protects thousands of jobs.
“The sales were completed swiftly, minimising disruption for clients and workers and we’re now supporting a smooth transition to the new owners.”
The last available set of accounts for Challenge Logistics showed that it had struggled last year amid “an extremely challenging trading environment”.
Turnover fell by more than £7.4m to £12.4m in the year ending 31 March 2024. Pre-tax profit tumbled from £1.6m in 2023 to £134,000.
The haulier said the reduction was driven by “a dramatic decrease in client demand during November and December 2023, which itself resulted from lower retail sales volumes as individuals deferred spending in the face of high levels of inflation and a resultant cost of living increase.
“Gross profit has fallen in line with the drop in revenue as margins remained consistent.”
Licencing documents showed Challenge Logistics operated more than 70 lorries out of three depots in Wigan, St Helens and Skelmersdale and 50 out of operating centres in Rugby.
