Five of its retail car dealerships have been sold on, protecting the jobs of many of the 250 people who worked for the motor retailer.
- Now Motoring Retailing placed into administration
- Five retail car dealerships in South sold to two buyers
Five retail car dealerships in southern England have new owners following work by administrators at Smith & Williamson.
Auto-trade specialists from the firm’s South Coast office were brought in after Now Motor Retailing Limited, which had an £83 million turnover, ran into financial difficulties due to a “tough market place”.
With over 250 staff, Now Motor Retailing operated five Vauxhall dealerships across London and two in Wiltshire, with a head office in Surrey.
Smith & Williamson’s Greg Palfrey and Steve Adshead, from the restructuring and recovery services team in Southampton, were officially appointed joint administrators of the company.
In the run-up to the administration, they successfully secured two buyers following negotiations with interested parties.
Kingston, Hayes, Heathrow and Staples Corner in London have been purchased by Go Vauxhall, a Vauxhall dealership with sites across the city, Kent and the West Midlands.
The Swindon dealership at Langley Road, Hillmead, has been acquired by the Eden Motor Group, which has 20 showrooms and services centres across southern England and sells Vauxhall, Mazda, Fiat, Hyundai and Peugeot vehicles.
Now Motor Retailing’s headquarters at New Haw Road, Addlestone, Surrey, are also being sold by administrators at Smith & Williamson to a third party.
The dealership site at George Lane, Marlborough, Wiltshire, was not acquired, with the loss of 9 jobs.
Greg Palfrey, national head of restructuring and recovery services at Smith & Williamson, said: “Steve and I were appointed as joint administrators to manage Now Motor Retailing Limited’s affairs, business and property after it experienced financial difficulties in a tough market place.
“Working with management and wiith our extensive turnaround experience in the retail motoring sector, we sought expressions of interest.
“As a result two buyers came forward in the tight timeframe, helping to save many of the 250 jobs depending on this successful outcome.
“Go Vauxhall purchased Kingston, Hayes, Heathrow and Staples Corner and Swindon has been acquired by Eden Motor Group.
“The Surrey headquarters of Now Motor Retailing are being sold to a third party.”
Mr Palfrey added: “It is a matter of public record that the retail motor sector is going through another testing time, with market forces outside the control of single brand and multi-brand dealerships, however well run they are with Now Motor Retailing being very profitable up until the end 2016.”
He paid tribute to managing director Jon Taylor and finance director David Challis, who both formed the company in 2006, for providing the Smith & Williamson team with “exceptional” support.
It is too early to state what money is owed to unsecured creditors, stressed Mr Palfrey.
Now Motor Retailing acquired the Swindon and Marlborough dealerships - two former Skurrays Vauxhall sites - in January 2016.
A retail sales operation at Addlestone was relocated to Now Motor Retailing’s West Byfleet site in 2016.
A site run by the company at Abbot Close, West Byfleet, near Walton-upon-Thames, subsequently closed; operations were moved to the Heathrow site at Staines Road, Bedfont.
By necessity, this briefing can only provide a short overview and it is essential to seek professional advice before applying the contents of this article. No responsibility can be taken for any loss arising from action taken or refrained from on the basis of this publication. Details correct at time of publication.
Notes to editors
Smith & Williamson is an independently owned professional and financial services group with over 1,800 people. The group is a leading provider of investment management, financial advisory and accountancy services to private clients, professional practices and mid-to-large corporates. The group has twelve offices; these are in London, Belfast, Birmingham, Bristol, Cheltenham, Dublin (City and Sandyford), Glasgow, Guildford, Jersey, Salisbury and Southampton.