JD Classics can breathe a sigh of relief as it's been sold to a new owner.
AM Online reported Tuesday that the major classic car restorer and dealer found a buyer in Woodham Mortimer, a company controlled by HPS Investment Partners LLC.
Woodham Mortimer's purchase of JD Classics secured 60 jobs at the company's headquarters in Maldon, England, and the sale includes the company's workshop, restoration business, and racing team. Alvarez & Marsal Europe LLP (A&M), which was brought in to oversee JD Classics' administration (similar to bankruptcy protection in the United States), said in a statement that the company will "continue to trade as normal and progress the turnaround and growth plan with a view to providing a new start to the business based on solid foundations."
Jean Marc Gales, who left British sports car maker Lotus as CEO to become JD Classics' new CEO this past June said, "Despite the difficulties of the recent past, JD Classics remains a world-class organization with a workforce of dedicated and highly talented individuals. We will continue to grow and develop the business, and we look forward to a future at the absolute pinnacle of classic car restoration, historic competition and trading."
Gales replaced founder Derek Hood, who started JD Classics in 1987. A customer sued Hood this past April after the individual claimed "catastrophic losses” during the trading of 41 vehicles. Sky News reported lenders were faced with over $30 million in losses. It still remains unclear where JD Classics ran into the worst of its financial troubles, but A&M previously said it found "financial irregularities" and promised an investigation.