JD Classics administrator Alvarez & Marsal Europe LLP (A&M) has secured a buyer for the classic car restoration, racing and sales specialist.
Woodham Mortimer Ltd, a company ultimately controlled by HPS Investment Partners LLC, has acquired the Essex-based operation in a move which safeguards the jobs of around 60 employees at the business’s headquarters in Maldon.
A&M confirmed in a statement that the sale included the company’s workshop and restoration business and its racing team.
It added that the business would now “continue to trade as normal and progress the turnaround and growth plan with a view to providing a new start to the business based on solid foundations”.
Mark Firmin, joint administrator and managing director at A&M, said: “This deal will ensure that the JD Classics business can continue to grow and prosper as a world class business.
“The business benefits from an outstanding collection of cars, a bespoke restoration facility, and a team of highly skilled craftsmen and engineers.
“We would like to thank all the staff for their support during this process and we wish the company and its new owners all the best for future.”
Jean Marc Gales, chairman and chief executive of Woodham Mortimer Ltd, who was appointed as JD Classics’ new chief executive in June, said: “It is with great delight that JD Classics can announce its financial security and future growth through its sale to Woodham Mortimer Ltd.
“Despite the difficulties of the recent past, JD Classics remains a world-class organisation with a workforce of dedicated and highly talented individuals.
“We will continue to grow and develop the business, and we look forward to a future at the absolute pinnacle of classic car restoration, historic competition and trading.”
JD Classics suffered financial issues after a classic car collector who claimed to have “suffered catastrophic losses” during the trading of 41 vehicles begun legal proceeding against former owner, Derek Hood.
Hood was replaced Gales, the former chief executive of Lotus Group, back in June and Gales was said at the time to have identified a number of potential cost savings and growth opportunities for JD.
A Sky News report in June said that lenders were understood to be facing a loss of as much as £25m on its exposure to the company.
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