GRANT THORNTON has signed a binding agreement to acquire a personal insolvency division of RSM Tenon.
The top five firm is expected to pay about £7m for the Individual Voluntary Arrangment (IVA) factory, based in Manchester, with the deal to occur on or before 5 October.
The standalone IVA factory employs about 60 staff. However, a spokesman for Grant Thornton could not confirm whether or not there would be redundancies, because final discussions were ongoing.
The stand-alone outfit generated revenues of about £5m for the year ended 30 June 2012.
Partner and head of the IVA practice at Grant Thornton Mark Allen (pictured) said: “Grant Thornton has considerable experience of the assimilation of such IVA portfolios and consideration for our current and new clients is foremost in our minds.
“It is our aim to make this process as smooth as possible and we look forward to dealing with each and every one of our new clients and welcome them all to our organisation.”
RSM Tenon IVA customers will receive a letter from Grant Thornton later this year outlining any changes.
IVAs are a personal insolvency process, which allows a practitioner to consolidate and reduce a person’s debt, then arrange and supervise repayments over a contracted period of time – usually five years.
The fast-track move is a bold departure from the norm, as a probe would normally only begin several months after administrators had finished their own enquiries
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