AEA pre-pack deal saves jobs

Nearly 400 jobs were saved by a pre-pack administration deal for the British arm of AEA Technology, the climate change consultancy which was spun out of the Atomic Energy Authority in 1994 and floated on the stock market two years later.

The engineer Ricardo yesterday agreed to an £18m deal to buy the main operating business of Oxfordshire-based AEA out of administration after the business collapsed under a £34.3m debt pile and £165.5m in pension liabilities.

KPMG said the pre-pack administration had also seen AEA's US businesses Eastern Research Group and Project Performance Corporation sold to NEK Acquisition, a new company set up by one of AEA's founders, securing a further 374 jobs.

Ricardo will retain all 400 staff and five offices of AEA Europe.