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Care home operator Castlebeck bought out by rival firm
5:33pm Monday 2nd September 2013 in News
A TROUBLED North-East care home provider has been acquired out of administration by a rival operator.
Castlebeck Care, which has its headquarters in Darlington, has been taken over by Danshell, in a deal thought to be worth £35m.
Administrators Grant Thornton are expected to confirm the deal this week.
Castlebeck operates 20 units across England and Scotland, with nine in the North-East, including Darlington, Barnard Castle, Bishop Auckland and Hartlepool. The units employ more than 330 people in the region.
Its head office employs 87 staff, most of which are based at the company's base in Chesnut Street, Darlington, with a further 126 working at four facilities in the town.
The firm was placed into administration earlier this year.
Castlebeck Care hit the national headlines in 2011 after 11 members of staff at Winterbourne View, a home in South Gloucestershire, were sentenced for roles in a "gross breach of trust and power" following an undercover expose by the BBC Panorama programme.
Danshell, founded by healthcare veteran Efi Hershkovitz, operates six care homes in Scotland that have a total of 400 beds.
In a letter to suppliers confirming the deal, Danshell said: “We are pleased to confirm that as of -September 1, 2013, Danshell healthcare takes over as the new provider of care services from Castlebeck. Danshell has been working closely with Castlebeck to ensure a smooth transfer of services.”
Danshell and Castlebeck did not comment.
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