Confusion is rife over the fate of reseller Logcom Group after one of the firms it acquired during a frenzied channel spending spree went into administrative receivership last week.
Status Group, which Logcom acquired for an undisclosed sum last year, appointed London-based insolvency firm Menzies Corporate Restructuring as official administrator.
A Menzies representative confirmed staff had been made redundant from Status, and assets of the firm are now up for sale.
Logcom hit the headlines with its aggressive acquisition strategy when it announced bold plans to acquire five resellers before Christmas 2003.
But CRN has learned that the firm has a number of county court judgements against it and industry sources believe accountancy firm PwC is waiting in the wings to be appointed.
As CRN went to press, Logcom Group was still in existence. A representative from PwC said: "We are not aware of any appointment, but things change on a day-to-day basis."
Simon Hollway, head of investor relations at Logcom, said: "The situation is still unclear at present."
Chris Turner, managing director of VAR Autodata Products, said: "We had been in negotiations with Logcom since October, but the deal was never signed which saved us from the same fate as Status.
"Logcom's concept was a good one, but it was unfortunate it didn't have the funding."
Eddie Pacey, director of credit services at Bell Microproducts Europe, believed Logcom's plans were unrealistic.
"The plan was destined to fail. Aggressive consolidation was not a tried and tested solution in our sector and it was trying to do it in a difficult period," he said.
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