Gordon Brothers hires restructuring specialists

Gordon Brothers lures two restructuring specialists from Barclays as it sets up a new private equity fund that will invest in distressed companies.

US-based Gordon Brothers International, which specialises in restructuring retail and manufacturing businesses, has appointed Paul Christmas and Fraser Pearce as investment directors.

Both Christmas and Pearce came from Barclays Bank’s business support team, which specialises in turnarounds and restructuring. Their role will be to make investments in distressed debt and equity positions in European companies with revenues between £20 million (€30 million; $40 million) and £100 million.

They will report directly to Merv Weich, president of the international division and Malcolm MacAulay, the European chief executive. Weich said the hires were an indication of: “the exciting opportunities in the distressed end of the market.”

Before moving to Gordon Brothers, Christmas was a corporate banking director at Barclays, while Pearce was an associate director. Both Christmas and Pearce have experience in turnarounds, work outs, acquisitions and divestments.

At the same time, Gordon Brothers has also closed a $350 million (€262 million) buyout fund, which it will use to take both majority and minority positions.

The firm has over 250 professionals and 200 field consultants worldwide and has been active for ten years in the private equity market through GB Merchant Partners, which aims to invest $15 – 50 million ($11-37 million) in each transaction.