City Business Solutions UK Ltd, Converge-IT.Net Limited and Sprout Technologies Limited - Administration

City Business Solutions UK Ltd, Converge-IT.Net Limited and Sprout Technologies Limited, a Daresbury-headquartered specialist provider of cloud and managed IT services to legal firms and barristers’ chambers in the UK and Ireland, entered administration on 4 April.

A cyber incident in November 2023 caused difficulties in trading with access to data severely limited for some customers. While the group was able to successfully restore operations in full by the end of December 2023, the disruption led to financial pressures, resulting in a sale process being conducted.

On their appointment, joint administrators Peter Dickens, Sarah O’Toole and Helen Wheeler-Jones of PwC completed a sale of the business and assets of the group to Bluecube Cyber Security Solutions Limited, saving 140 jobs.

Silicon Valley Bank has a registered charge against all of the companies, while Tenzing Private Equity only has a registered charge against Converge-IT.net.