Data hosting firm Alphadex bought out of administration

Wed, 07 May 2014 | BUSINESS SALE

iRack Limited has bought data hosting and processing company Alphadex Limited out of administration.

Jason Elliott and Craig Johns from Cowgill Holloway Business Recovery LLP were appointed as joint administrators of Alphadex after the Salford Quays firm hit sudden cashflow problems. The company, established in 2009, was targeted by a sustained cyber attack on its servers at the end of 2013 and early 2014, resulting in the loss of major contracts.

Mr Elliot and Mr Johns successfully completed a sale of the business to Manchester-based iRack Limited, saving 21 jobs in the process. The new owners - who were advised on the sale by Shoosmiths’ Manchester team - have stated that they intend to invest heavily to improve the company’s software, hardware, network and infrastructure so that it is better placed to cope with any potential repeats of the recent cyber attack.

The administrators said that ensuring the business maintained a continuous service was imperative during the sale so that existing clients would not be affected. The speed of the sale allowed this to happen and preserved the value of the company to the buyer, iRack.

Mr Elliott, partner at Cowgill Holloway Business Recovery, commented: “Alphadex is a fundamentally sound business with an excellent product range, but a recent sustained cyber-attack on the company servers and issues ultimately beyond its control meant a number of key customers were unfortunately lost, hitting the company disproportionately hard.

“After a short period of marketing we were able to generate several expressions of interest and three firm offers which ultimately resulted in a successful sale of the business.”

Related information:
Business acquisition funding
Businesses for sale

Share this article

Latest Businesses for Sale

Italian Restaurant/Pizzeria
London, UK

A restaurant has operated on this very prominent, high street corner location for many years and was purchased late in 2016 by the vendor with the intention of adding a retail business to it commercial business. The vendor then invested circa £70,000...

Asking Price: £200,000
Turnover: £550,000


Industrial Textile Services
UK Wide

Serves clients in the automotive, industrial, medical and geotextile sectors. Operates from 16,000 sq ft leasehold premises. Sustains and generates consistent revenue without the need for marketing expenditure. Retirement sale. Offers invited.

Asking Price: Offers Invited
Turnover: £382,000


Confectionery, Nuts & Snacks Re-packer & Distributor
UK Wide

Provides a comprehensive delivery service, with a directly employed fleet of delivery drivers. Highly experienced management team in place, capable of managing day-to-day operations, post-sale. Significant scope for growth with geographic expansion a...

Asking Price: Offers Invited
Turnover: £6,650,000


View more businesses for sale

News Search

Latest News


Property management platform faces administration | ADMINISTRATION

The parent company of UK property management startup Hostmak...


Clugston Group former headquarters up for sale | COMMERCIAL PROPERTY

St Vincent House in Scunthorpe, which was the headquarters o...


Street food catering firm seeks buyer after entering administration | ADMINISTRATION

Shrewsbury-based catering company MPM Catering has entered a...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide


Related News


Dagenham recycling firm enters administration | ADMINISTRATION

A plastic milk bottle recycling firm based in Dagenham has b...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources