Insider Media Limited

Bath-based Target Chartered Accountants has called in administrators to help with the break-up and sale of the company as part of a pre-pack deal.

The company has been hit by the exposure of its IFA business Target Financial Management to the collapse of Keydata Investment Services two-and-a-half years ago. That collapse has now triggered a claim from the Financial Service Compensation Scheme from those companies that sold Keydata's investment products.

Zelf Hussain and Rob Hunt of PwC were appointed joint administrators of Target Consulting Group and Target Consulting, on 25 November 2011.

The administrators have been appointed to Bath, Reading and Rugby, but not the London practice, Target Accountants.

Since appointment the Rugby office has been sold back to management for an undisclosed sum, with a deal on the Reading office expected to be completed shortly.

All of the accounting function at Target is based in Bath, plus a portion of Target Financial Management and the majority of Target Corporate Finance.

The group has a total of 197 employees, with 88 based in Bath, 25 in Reading, 25 in Rugby and 31 in Target Accountants Limited - based in London – and 28 in Target Financial Management (based in all offices).

Zelf Hussain, joint administrator and partner at PwC, said: "Due to difficulties in meeting the group's financial obligations, and having run out of alternative options, Target Consulting Group Limited and Target Consulting Limited have been placed into administration.

"We are pleased to have completed the sale of the Rugby office and we are looking to secure the rapid sale of the business and assets of the Reading and Bath offices, and the share capital of Target Accountants Limited (London office) and consequently we are very keen to speak to anyone who might have an interest in acquiring all, or part, of the group."