Stevinson has borrowed £1 million and bought some Entatech assets from the administrator KPMG. Not only does that mean that creditors will get some cash, it will also save 29 jobs.
Entatech entered administration last Monday after it failed to sell itself in a ‘pre-pack’ deal to Beta. It had been seeking a trade deal for several months amid a deepening credit crunch.
Stevinson said he and his family have acquired a new firm, GNR Technology, which has bought some of Entatech’s assets, namely the stock and some fixtures and fittings, as well as goodwill that gives it access to customer contracts.
GNR stands for ‘greatest net return’, reflecting the distributor’s mission of maximising the return for its vendor creditors.
The new company will manage the channel inventory of our vendors, as opposed to seeing the stock purchased by an inventory auction house.
Stevinson said GNR would be funded by a blend of personal funding and new funding secured from Aldermore Bank.
He said the new company would be a narrow-line distributor, focusing on the UK market. We expect to hold onto the key vendors.