After failing to buy rival Currie & Brown, consultant turns its attention to troubled QS

Consultant McBains Cooper is looking to buy QS MDA just six weeks after failing to take over rival Currie & Brown.

黑洞社区 understands McBains turned its attention to MDA after Currie & Brown鈥檚 management blocked a potential merger.

It sees MDA as an easier acquisition target as the firm鈥檚 management has suffered a turbulent few months. In August, 黑洞社区 revealed that MDA鈥檚 managing director, former Sainsbury鈥檚 executive Charles Johnston, had left the firm after clashing with its board.

Following his departure, two board members involved in the row, Mike Jewell and Steve Jones, became chairman and managing director respectively.

Jewell told 黑洞社区 that MDA had not received a formal approach from McBains Cooper, but a source close to MDA said it had 鈥渟hown interest鈥� in the firm. The source said that, as a result of the management problems at the firm, it was seen as being ripe for takeover.

The source said: 鈥淎lready, there has been interest from a company run by MDA鈥檚 previous management called KHK, but MDA seems to be hanging in there for now.鈥�

Michael Thirkettle, McBains鈥� chief executive, said it would be inappropriate for him to comment, but a source close to the firm said it was currently considering three firms of similar size to Currie & Brown, which has 18 offices in the UK.

The row between Johnston and the MDA management was because Johnston wanted to diversify the business beyond its traditional QS roots. This was resisted by the board.

MDA鈥檚 strength is its long-term relationships with blue-chip clients such as HSBC and Canary Wharf. Its UK headquarters are in Croydon and it has offices in London, Newcastle, Leeds, Manchester, Leicester, Birmingham and Bristol.

McBains Cooper at a glance

Michael Thirkettle, chief executive, took the helm of the company in 2003 when it was making losses of 拢200,000

Pre-tax profit at the company was up 57% from 拢587,000 to 拢924,000 for the year ending June 2006

Turnover for the year was 拢11.5m, up from 拢11.1m in 2005
n McBains made a bid for rival Currie & Brown this year. This was withdrawn in October

It is reported to be eyeing three companies as acquisition targets