Jark steps in to save 216 jobs at Mc2 Technical Recruitment
24 September 2014
Stockton on Tees-based Mc2 Technical Recruitment has been bought out of administration, allowing part of the business to continue operating and therefore save 216 jobs.
Wed, 24 Sep 2014 | By Sarah MarquetStockton on Tees-based Mc2 Technical Recruitment has been bought out of administration, allowing part of the business to continue operating and therefore save 216 jobs.
Multi-sector recruiter Jark Group has bought that part of the business, Network Employment Consultancy (NEC), for an undisclosed sum.
Mc2, an oil & gas industry recruiter, found itself in financial trouble after its two main clients decided to go elsewhere earlier this year.
Ryecroft Glenton Corporate Finance partner Carl Swansbury, who assisted with the sale, told Recruiter Mc2 had been a substantial and profitable business but it had a “high concentration” of its business with two key clients, and when they left the company began to “haemorrhage money”.
In a statement, joint administrator Andrew Haslam of Begbies Traynor Group said Mc2 had acquired Leeds-based NEC, which places temporary staff within and around Yorkshire, last year and in order to protect that side of the business, it was placed into administration.
NEC had been run as an independent business under the Mc2 umbrella, with its own staff base, clients and management team.
Swansbury said the sale to Jark Group was arranged within seven days to protect the income of NEC’s 200 temporary staff and 16 direct employees.
Jark chairman John Buckman said in a statement that NEC was a “perfect fit” for Jark’s business.
No buyer was found for the rest of the operation, resulting in the closure of the Teesside office and loss of eight jobs.
Multi-sector recruiter Jark Group has bought that part of the business, Network Employment Consultancy (NEC), for an undisclosed sum.
Mc2, an oil & gas industry recruiter, found itself in financial trouble after its two main clients decided to go elsewhere earlier this year.
Ryecroft Glenton Corporate Finance partner Carl Swansbury, who assisted with the sale, told Recruiter Mc2 had been a substantial and profitable business but it had a “high concentration” of its business with two key clients, and when they left the company began to “haemorrhage money”.
In a statement, joint administrator Andrew Haslam of Begbies Traynor Group said Mc2 had acquired Leeds-based NEC, which places temporary staff within and around Yorkshire, last year and in order to protect that side of the business, it was placed into administration.
NEC had been run as an independent business under the Mc2 umbrella, with its own staff base, clients and management team.
Swansbury said the sale to Jark Group was arranged within seven days to protect the income of NEC’s 200 temporary staff and 16 direct employees.
Jark chairman John Buckman said in a statement that NEC was a “perfect fit” for Jark’s business.
No buyer was found for the rest of the operation, resulting in the closure of the Teesside office and loss of eight jobs.
