Band-X Recruitment goes its own way

A management buyout of Brighton-based executive search consultancy Band-X Recruitment has been negotiated by EMC Corporate Finance.

The business – subsequently renamed Expand Recruitment Ltd – was acquired from its parent company, Band-X Ltd, for an undisclosed sum.

Band-X, a leading provider of voice services to the telecommunications industry, had decided that its recruitment subsidiary was no longer core to its long-term strategy. It plans to invest the proceeds of the sale into its expanding VoIP, managed services and international voice termination businesses.

Peter Maddalena and Samantha Maxwell-Reed, who have successfully run the recruitment division for the past seven years, have joined with former colleague and senior recruitment specialist David Leen to take over the business through their holding company, Scott Burbank.

EMC director Michael Pay, based at the Eastbourne office, negotiated the deal on behalf of the management team with funding from NatWest and RBS Commercial Finance. Other services were provided by John Healy of commercial lawyers Healy’s and Stuart Noakes of Worthing accountants Carpenter Box.

Michael said: “We are delighted to conclude a deal that is convenient to all parties. The ownership of the business is now firmly in the hands of its management who can now invest freely in staff and services for the benefit of shareholders, staff and clients.”

Peter Maddalena added: “We’ve thoroughly enjoyed being part of Band-X for the last seven years. However, we felt the time was right to take the business forward ourselves. We see considerable growth prospects for the company in the IT sector and provision of contractor resources.

“It was great to work with a team of advisors who understood the business and sector very well and we are sure that this was reflected in the final price we paid.”

EMC has been retained to help the newly-named Expand Recruitment deliver aggressive growth plans which have already seen a doubling of the number of consultants in the firm.