Insiders at Bell Pottinger expect the disgaced PR firm to fall into administration on Tuesday following a nightmare week.
Staff were informed on Thursday last week that the firm was likely to collapse early this week, with administration expected as soon as Monday. This has not come to pass, but there is little hope among insiders firm will survive beyond the next couple of days, with BDO expected to be appointed as administrator.
Bell Pottinger and BDO declined to comment.
Bell Pottinger, founded in 1987, suffered a tumultuous week, prompted last Monday by the publication of a Herbert Smith Freehills report into its work for the Gupta family’s Oakbay Capital in South Africa.
Chief executive James Henderson resigned in advance of the report, which led to Bell Pottinger being booted out of the Public Relations and Communications Association (PRCA).
Other high-profile figures, including head of financial PR John Sunnucks, followed Henderson out of the door later in the week.
Bell Pottinger was also abandoned by a series of high-profile clients, including FTSE 100 wealth management firm St James’s Place, construction firm Carillion, student housing group Unite, HSBC and others.
Late last week, it emerged that Bell Pottinger’s Asian arm had rebranded as Klareco Communications. It also emerged over the weekend that Bell Pottinger Middle East, which is based in Abu Dhabi and Dubai, was seeking to sever ties with the UK firm.
Meanwhile, it was reported today by the Evening Standard that two former partners who worked on the controversial Gupta account are considering taking legal action against the firm. They could not be reached for comment.