FRP has revealed its Restructuring Advisory team has completed a sale of JTF Wholesale that transfers assets to a new venture led by Bargain Buys which could see up to nine stores reopen under licence.
It comes after Marco Piacquadio and Nathan Jones, partners at its Restructuring Advisory team, were appointed as Joint Administrators to JTF Wholesale Limited, which operated a chain of 14 discount stores in the North and Midlands.
The appointment of the joint administrators followed a “challenging trading period” for the business and a series of unsuccessful restructuring processes that led the directors to cease trading and make all staff redundant.
FRP said following an “extensive sales process”, which its team conducted pre and post-appointment, it is pleased to have secured the sale of the company’s brand and other assets to a venture led by Bargain Buys – a discount store chain and subsidiary of Poundstretcher.
As part of the sale, which includes stock, equipment and intellectual property rights, the new ownership team has purchased the licence to operate nine JTF Mega Discount stores.
Piacquadio said: “We wish the business venture all the best as it looks to rebuild the business, reopen certain stores and trade online.”
“As part of our role, we are also committed to working with the Pensions Regulator and Redundancy Payments Service to support around 500 former employees who were made redundant by the former Directors of the business prior to our appointment. Our specialist employment team is helping to process claims.”
Legal advice was provided to the joint administrators on the appointment and related transaction by a team led by Carl Mifflin from Howes Percival, as well as Trevor Palethorpe of instructed agents John Pye.