Breaking News: Vantis close to administration

Vantis said it is preparing a market statement amid mounting speculation that the top 20 accounting firm will soon enter administration.

The firm had its shares suspended last month, after it said it could not be certain of sufficient funding to continue as a going concern. Sources close to the firm say the business could enter administration as early as tomorrow (Wednesday) morning.

Sources close to the company have suggested the firm will use a pre-packaged administration to sell parts of the business.

A senior insolvency practitioner told Accountancy Age rival firm Tenon is considering acquiring parts of the firm’s London business. The firm’s business recovery department, in London, may be bought by three former Vantis insolvency practitioners, Accountancy Age understands.

Speculation in the industry has focused on insolvency practitioners Jeremy French and Geoff Rowley as two of the three potential buyers. The third is expected to be Charles Turner a former PwC partner who joined Vantis earlier this year.

The firm has been under pressure, in part due to its failure to cure fees from to its troubled administration of Stanford International Bank, operated by Texan Allen Stanford.

In June liquidators from Vantis working on the Stanford case were removed from their posts by an Antiguan court. The firm appealed the decision.

It is understood the rest of Vantis could be broken up and separate local practices sold to existing managing partners.

FTI Consulting has been advising Vantis, it remains to be clarified whether they will be appointed administrators.

Tenon had not commented at the time of publication.

Further reading:

FTI Consulting called in to advise Vantis

Troubled Vantis must now weigh up its options

Vant is trading suspension follows difficult financial period