Business advisory firm Quantuma have completed a pre-pack administration sale of vehicle recovery and maintenance business Lanes Recovery Limited (Lanes). This secures the future of the business and protects all jobs.
Quantuma’s managing directors, Andrew Watling and Carl Jackson were appointed as Joint Administrators of Lanes on 16 April 2024 and completed the sale of its business and assets shortly thereafter to Lanes Garage Recovery Services Ltd. All 59 staff were transferred to the purchaser under TUPE.
Founded in 2018, with its roots tracing back to a family business established in 1951, Lanes provides vehicle recovery, maintenance and storage services and is located over four sites in South & Mid Wales, Herefordshire, Worcestershire and Gloucestershire. The business reported a turnover of £4.6m in 2023/24.
Following a difficult trading period during the COVID-19 pandemic, the company fell into arrears with its tax affairs and was unable to recover sufficiently to get back up-to-date, and a winding-up petition was presented. The company approached its secured lender for support and was then referred to Quantuma for insolvency advice.
In light of the company’s inability to source funding and the imminent advertisement and hearing of the petition, an accelerated sales and marketing campaign was undertaken by the Quantuma team, resulting in several expressions of interest from outside parties, but no offers were put forward.
The proposed Administrators therefore concluded that a sale to the newly created company, run by relatives of the director, as this was considered the only way to save the business and maximise a return to creditors.
Andrew Watling, Joint Administrator and managing director at Quantuma, said:
“We are pleased to have achieved such a positive outcome for Lanes Recovery, ultimately preserving all jobs and with no disruption to ongoing operations. This sale secures the continued trading operation of the business in its four locations.”
The Administrators were assisted by professionals from Moore Barlow LLP who provided legal services and Axia Valuation Services who provided support with the valuation and sale.
