Grant Thornton’s UK firm
has signed a binding agreement to acquire the Individual Voluntary
Arrangement (IVA) business of RSM Tenon, for a cash value of
approximately £7m after costs and adjustments.
The target, a
stand-alone business with 60 staff, reported £5m in revenue for the
year to 30 June.
The acquisition is
expected to be completed by 5 October and will include the
transferral of customary warranties, indemnities and termination
rights. The transaction will not, however, include any other part
of RSM Tenon’s recovery practice, such as the debt management
transaction, Grant Thornton will send letters to all new clients
detailing the process for transferring cases and providing contact
details for the IVA support team.
Mark Allen, Grant
Thornton partner and head of the UK firm’s IVA practice, said the
firm had “considerable experience of the assimilation of such IVA
portfolios”, adding that it would “aim to make this process as
smooth as possible”.
RSM Tenon has had a
difficult year, with a 9.3% profit slump reported for the second
half of 2011, and errors discovered in the firm’s 2010 and 2011
audits. Last month its Stoke-on-Trent office was bought by regional
firm Dains. RSM Tenon has also recently recruited a new head of
corporate recovery, Chris Ratten.