System builders race to snap up Pars

Stone Computers and Viglen names in the frame to acquire beleaguered firm

The race to acquire fallen systems builder Pars Technology is hotting up with Stone Computers and Viglen both thought to have thrown their hats in the ring.

As revealed by ChannelWeb, the Milton Keynes-based firm toppled into administration late last week, after an appeal against a long-standing tax dispute with HMRC failed.

The move resulted in up to 10 of the firm's technical and production staff being made redundant.

Richard Rendle, owner of Pars administrator Rendle & Co, claimed there are now numerous interested parties, but declined to comment on their identities. "The priority is finding a buyer as quickly as possible to preserve the level of customer and supplier goodwill we have," he said.

Sources indicated that system builder duo Stone and Viglen could be among the frontrunners.

One possible suitor to rule itself out of the running is Centerprise, with managing director Gary Stevens confirming that Pars was not on its radar despite its ambitions to acquire.

He said: "We are looking to make acquisitions as part of our wider business strategy. It is not about being opportunistic. It is about selecting firms on the basis of how easily they can be integrated."

Private equity-backed Stone would be an obvious candidate, while Pars' focus on education would also make it more attractive to Viglen than other more consumer-focused system builders such as Mesh, sources said.

One source said: "It is not a financially secure business, so it is most likely that whoever buys it will use what is left of the company's resources to bulk up something they already do."