Begbies Traynor advises Elite Emergency Medical Services on administration

Begbies Traynor has advised on the administration of Elite Emergency Medical Services LTD, a provider of patient transport services, event medical cover and training services to the healthcare industry, NHS Trusts, private companies and individuals. 

The business and assets have been sold during a pre-packaged administration process of the company leading to the continued employment of nearly 500 blue light workers and seamless continuity of service provision.

On 19 April Dominik Czerwinke and Amie Johnson, of Begbies Traynor, were appointed as joint administrators to conduct the pre-packaged administration of the business and assets of Elite Emergency Services LTD.

Over the last two years, the company has successfully tendered for and won a number of fixed-term contracts for the NHS. Under these agreements, the services provided by the company must remain unchanged, despite geopolitical instability and a difficult economic backdrop leading to the substantial increase in costs for medical supplies, vehicle maintenance, fuel and staff during the period.

In addition, on 21 April the company acquired the business and assets of Polaris Medical Services out of administration, a competitor to the company. This resulted in the company accruing significant losses relating to the integration of the business into its organisation and the costs linked to transferring colleagues across.

As a result of rising costs and the financial implications surrounding the integration of Polaris Medical Services, the directors concluded that the business was no longer viable.

Following advice and engagement with partners at Begbies Traynor and ongoing support from Bibby Financial services, the business was marketed and sold immediately upon the appointment of administrators to the company.

The successful sale of the company during the pre-packaged administration process will save over 490 jobs and ensure ambulance services across the South East of England are maintained and vital urgent medical care continues to be accessible.

Czerwinke said: “We are delighted to have secured a swift and favourable outcome for the staff of the Company. Moreover, our actions have safeguarded the continuity of vital medical care and ambulance services throughout the South East, which is crucial to preventing loss of life and avoiding delays in treatment and care within the local communities.

“Any potential alternative outcome would have led to mass redundancies and disruption to frontline medical services that are heavily relied upon by both members of the general public and contracted NHS trusts. This was a situation where a pre-packaged sale of the business and assets was a vital tool in the box as no other procedure allowed for this outcome in the time available. The continued liaison and support from both Bibby Financial Services and the company’s bank, together with expert legal advice from Pinsent Masons, all led to a successful outcome.”