FRP appointed as Scottish publisher hits the rocks
FRP Advisory has been appointed as administrators for Team Rock Limited, which owns of a stable of leading rock magazines and a leading rock music website, and are seeking buyers for the magazine titles and other assets of the business.
Team Rock’s range of music profile titles and brands includes Classic Rock, Metal Hammer, Prog, the Golden Gods Awards and the Classic Rock Awards.
Joint administrators Tom MacLennan, Iain Fraser and Jason Baker, all partners at FRP Advisory, the business advisory firm, request interested parties to make early contact.
Team Rock was founded in 2012 and the business acquired the Classic Rock, Prog and Metal Hammer from Future Publishing in 2013. The business had grown to a staff base of 80, with 31 based in High Blantyre, Glasgow and 49 based in London. Annual turnover generated was in excess of £6 million.
The business however had traded at a loss for a significant period of time, with consequent constraints on the cash position. Cost-cutting measures were implemented and despite the best efforts of the directors to seek additional investment or a purchaser for the business, no deal could be completed, leaving the company with no viable option other than to enter administration and to immediately cease trading. A handful of staff have been retained to assist the administrators, with all other employees made redundant.
Tom MacLennan, joint administrator and partner at FRP Advisory, said: “The Company explored every option to secure the long-term future of the business, however the constraints on the cash position of the business were such that administration was the only viable option. The administration presents an excellent opportunity to acquire high profile rock music titles, products and brands that have a substantial global following.
“The brands and assets could appeal to a music publishing business looking to expand its portfolio, or an entrepreneur that sees the potential for developing the brands. The business has now ceased trading. Given the financial situation of the company, unfortunately 73 staff have been made redundant with immediate effect (46 in London; 27 in High Blantyre).
“Seven staff will be retained in the short term, three in London and four in High Blantyre, to assist the administrators with magazine publishing, website maintenance and other matters.
“Our priority is to work closely with all agencies and services to ensure employees receive every support and assistance at this very difficult time.”