Working 24 hours for apprentices

Apr 16 2008 by Peter McCusker, The Journal

A LARGE cross-departmental team of 27 lawyers from Watson Burton worked night and day to complete a high-profile deal to buy apprenticeship and training group Carter & Carter plc on behalf of client Newcastle College Group.

Once the legal team was made aware that Newcastle College was the preferred bidder for the majority of Carter & Carter, they worked until the transaction was completed in the early hours of the final morning.

The purchase of Carter & Carter plc by Newcastle College Group immediately saves over a thousand jobs and guarantees that many thousands of people on government-backed training schemes can continue their courses.

Jackie Fisher, principal and chief executive of Newcastle College said: “This was a fantastic opportunity for the College to strengthen its position as a key training provider for employers. I was enormously impressed by Paul McGowan and his legal team and the array of disciplines they were able to command to resolve any issues. It allowed us to cover a huge amount of work in a very compressed timescale.”

The deal is unusual as a purchase of a private sector training provider by a public sector College. Newcastle College Group, already the UK’s largest further education establishment, has gained around 100 properties and a wide range of new locations in Britain from which it will continue to provide the vocational and employability skills courses formerly offered through Carter & Carter.

Paul McGowan, Watson Burton education and employment partner, said: “This was an unprecedented deal for Newcastle College and for us. We were able to react with speed to provide detailed, complex information within an extraordinarily tight timetable.

“As a result, the deal was completed successfully, many hundreds of jobs have been saved, and our client Newcastle College Group has gained a UK-wide training dimension.”

Andrew Cawkwell, head of corporate recovery at Watson Burton said: “As far as deals to purchase businesses, assets and goodwill from administrators are concerned, this is in all likelihood one of the most high profile deals to be seen this year.”

The training company was put into administration this month following the tragic death of its chief executive Phil Carter in a helicopter crash a year ago. The company’s finances declined sharply following his death.

Newcastle College Group has bought a substantial proportion of Carter & Carter, a move welcomed by the Learning and Skills Council. The purchase is a good fit for the College’s strategy of becoming the training provider of choice for business.

The Watson Burton team of 27 lawyers that was put together at short notice to deal with the pressing timetable faced by the client included partners Paul McGowan, Barney Frith, Robert O’Donovan, Simon Scougall, Chris Storey and John Devine, associates Andrew Cawkwell, David Jenkins and Mark Lazenby, John Bewick, solicitors Mark Evans, Ian Barker and Deborah Whitehead and trainee solicitors Sarah Barratt and Laura McIntosh.

Following the purchase of the apprenticeship group, the combined turnover of the Newcastle College Group is forecast at £150m a year. Staffing is likely to grow to 3,400 and the College has 35,000 students.