SHARES in Begbies Traynor fell yesterday after the corporate restructuring specialist said it would buy Tomlinsons, an unlisted insolvencies practitioner, for an undisclosed sum.
Tomlinsons has 13 staff in offices in Manchester and Blackburn. Begbies Traynor will absorb the smaller company into its existing insolvency practice to bolster its presence in the north west.
Alan Tomlinson and Catherine Matthews, partners at Tomlinsons, will join Begbies Traynor as partners.
Begbies Traynor executive chairman Ric Traynor said: “[This takeover] reflects both our confidence in our long-term trading outlook and the fact that our recent refinancing is enabling us to consider both organic investment and acquisition opportunities, principally in the insolvency and restructuring sector.”
Shares in Begbies Taynor closed 0.8 per cent lower at 59.5p yesterday. News of the purchase comes days after the Aim-listed company said it had been hit by the lower rate of corporate insolvencies compared with a year earlier.