Charity agency Whitewater and the Involve Agency (formerly JDA) have been put into administration after parent group The Involve Marketing Partnership decided to shut up shop on both businesses.
Speculation had been mounting about the move, confirmed by group chief executive Martin Smith, following the departure of Whitewater’s management team late last month.
But Smith has been swift to dismiss reports that the whole group – which also includes Millennium, DMS, and United – has gone bust, stressing it has “no impact” on the other businesses and agencies in the group.
In November 2010, the group pledged to invest in the business after signing a deal with Barclays Corporate to refinance its existing borrowings. Barclays provided the group with a £7m debt and working capital facility.
The Involve Marketing Partnership was formed in July last year, having rebranded from The Direct Marketing Group. At the time, JDA – originally set up by Judith Donovan during the Eighties, but bought out by Carl Hopkins and eventually sold to DMG in 2007 – was rebranded Involve Agency.
Martin Smith said: “I can confirm that Involve (formerly JDA) and Whitewater, both part of the Involve Marketing Partnership, have entered into administration on Monday 16 April 2012.
“This has no impact on the other businesses and agencies in the group. All operate profitably and independently of each other, meaning there will be no impact on clients. It will be business as usual and clients of the remaining organisations will continue to receive the high levels of service and consultancy they have come to expect.”
The group’s roots stretch back to 1996 when Smith founded Millennium as an over 50s specialist agency, after being marketing director of Saga and Damart. Having built the agency – and acquired the rights for suppression file Mortascreen – it went on an acquisition spree, buying Whitewater, DMS and JDA.
Last year, it launched ethical agency United, headed by former Proximity chief Elly Woolston and creative director Duncan Gray.
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