Buyout comes to rescue of troubled 1st Dental

Shares in the former AIM-listed Harrogate-based group were suspended last week when an expected pick-up in sales failed to materialise.

The group had come under pressure from creditors including HM Revenue & Customs, and, with little likelihood of sales improving, appointed Andrew Poxon and John Titley of Leonard Curtis Recovery as joint administrators.

In a statement last night, Nigel Spring, the group's former chief executive and new managing director, said: "Richard Hughes, the founder of the Zeus Group, has completed the institutional buyout of 1st Dental Laboratories, the UK's leading provider of dental laboratory products and services.

"Richard has provided additional capital to promote the management's turnaround strategy of the business."

The group's fall into administration came just months after it reported a return to profit.

1st Dental leads the UK laboratory market with a five per cent share, and has a network of 14 laboratories. It competes with about 3,500 small laboratories across the UK.

It had expected a pick up in sales but when this did not appear, the group said it risked trading while insolvent so entered administration.