420 jobs saved as London solicitor bought out of administration
A London solicitor has been acquired out of administration by a legal advisory firm.
McMillan Williams, headquartered in Croydon, went into administration yesterday (19 May), putting 420 jobs at risk.
The company has now been acquired by Moorgate-based Taylor Rose, which will take on all 420 employees, and is expected to generate revenues of £45m.
McMillan Williams, which had a turnover in excess of £30m for the year ended April 2019, said that “historic aged debt” had placed pressure on cash-flow, exacerbated by the current pandemic.
The sale was overseen by Quantuma, which had been appointed joint administrator for McMillan Williams.
Quantuma partner and joint administrator, Sean Bucknall, commented: “Historic debt and limited headroom within existing facilities has meant that MW were unable to secure additional working capital to weather the current economic climate.
“The sale to Taylor Rose provides the best possible outcome for the firm and its creditors as well as protecting clients’ interests, preserving hundreds of jobs and creating a strong combined brand.
“The high fixed cost base and highly leverage model of many law firms leaves them particularly vulnerable to the fall-out from the COVID-19 pandemic.
“We are already seeing many law firms already in serious financial difficulty and unfortunately this administration will be the first of many”.
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