Video and security distributor Norbain has been thrown a lifeline by holding company Newbury Investments (UK) Ltd, after falling into administration on 29 June.
The sale, negotiated by administrators KPMG upon appointment, will safeguard 240 jobs at the Reading-based firm’s various locations.
Norbain makes annual sales of around £150m, but KPMG joint administrator Will Wright said the firm had succumbed to a decline in orders as customers dithered over the economy.
“The fall in income was a key factor in the company entering into administration,” said Wright. “This deal marks a fresh start for the Norbain UK business and puts it on a more solid footing for the future.
“We are pleased that the process we ran allowed the company to avoid a full operational administration via a pre-pack,” he added.
Norbain managing director Barry Shakespeare added: “We are confident that Norbain’s best-in-class operations combined with Newbury’s financial strength and complementary distribution experience will secure our future growth strategy.”
New owner Newbury, which books annual turnover of around £320m, has five other specialist trading units in the UK, Deta Electrical Company Ltd, a lighting and electrical wholesaler; Decco Ltd, which supplies home and garden, construction and industrial products; Stearn Electric Co Ltd, which sells commercial and domestic appliances and electricals; electrical, data and telephony cabling specialist UK Cables Ltd, and UK Electric Ltd, which specialises in commercial heating and cooling systems.
KPMG is still attempting to find a buyer for Norbain’s business units in Benelux, Portugal and South Africa.