UK-based specialist healthcare recruitment agency Castlerock Recruitment Group acquired home care provider Allied Healthcare.
Allied Healthcare had been on the brink of bankruptcy and was expected to cease operations by Nov. 30.
The home care provider, founded in 1972, operates across England, Scotland and Wales and has a subsidiary in Ireland. The company reportedly employs 8,000 people and provides care services for 13,000 elderly and disabled people.
Financial details of the transaction were not disclosed.
The rescue deal comes after Care Quality Commission raised concerns on Nov. 5 that Allied Healthcare, one of the biggest home care providers in England, may not be able to operate after Nov. 30.
The CQC issued a Stage 6 notification to local authority customers in England with regard to the ongoing operation of services provided by Allied Healthcare. This notified local authorities in affected areas that it could not guarantee that Allied Healthcare would be able to operate its services beyond Nov. 30, and that the company should begin contingency planning for the safe transfer of services.
Allied Healthcare’s board then reached an agreement with Health Care Resourcing Group (trading as Castlerock Recruitment Group to acquire Allied Healthcare’s trading assets, effective Nov. 30.
All care and support service contracts provided by Allied Healthcare, including the Primecare and Firstcall businesses, will be transferred in their entirety to Castlerock Recruitment Group as part of the undisclosed deal.
With the transition of ownership complete, Allied Healthcare’s vital care workers and branch staff responsible for overseeing care visits will remain in post with the same pay and conditions as before.
Allied Healthcare will operate under its new CEO, Narinder Singh, with no break in service.
Speaking exclusively to Staffing Industry Analysts, Ian Munro, Group CEO at Castlerock Recruitment Group, commented, “Our priority will always be working closely together as partners with all commissioning and regulatory bodies. We see this as being essential for us to succeed and deliver the continuity and excellent level of care our end-users require. CRG is a caring business; our history and track record demonstrate that we are secure and sustainable, and of a scale that can service these contracts and more in the future. Ultimately, by working together we will deliver excellent service for our end-users, protect our workforce and deliver for all authorities who put their trust in us.”
Munro also added that, “All carers will remain in their current roles at Allied Healthcare.”
“CRG is a health care business,” said Tristan Ramus, chairman of Health Care Resourcing Group. “We have no intention of breaking up Allied Healthcare and our aim is to ensure that no part of the country is left abandoned by this transfer of all services. We intend to bring the care provider back to full strength; however, this will require time and the full support of all stakeholders.”
Munro also commented, “The ultimate priority for CRG is to offer an unrivalled continuity of care for all Allied Healthcare service users and provide a stable and supportive environment for all carers who will continue to deliver services across all contracts. The Allied Healthcare name will not change – it’s very much business as usual.”
“What this transfer of services demonstrates is not only the scale of our business, and the ability to meet high levels of demand across a wide range of sectors, but our unwavering commitment to service users across the country, whether it’s in social care or education,” Munro said.
“Allied Healthcare is a natural and excellent fit for CRG, which has been operating successfully across the sectors it works in for over 18 years, and we would encourage carers across the UK to join us in helping deliver the same levels of exceptional care service users have become accustomed to from the HCRG Group. We want to secure the long-term sustainability of Allied Healthcare, under our management.”
In October, CRG announced that it had acquired Affinity Workforce, a provider of education, health and social care staffing. In March, the group acquired London-based recruitment firm Healthcare Locums.
