Ian Walker and Chris Norman, of Begbies Traynor, have been appointed as joint administrators to catering services company Pro Serv Corporate Ltd, which has been sold in a pre-pack deal saving around 260 jobs.

The Bridgwater-based company's new owner is Taylor Shaw Ltd and the deal is expected to complete before the end of the month. Pro Serv was formed in 2004 and provided catering services to both schools and corporate clients throughout the South West. At the time of its collapse, it had around 30 catering contracts.

Ian Walker, joint administrator and Begbies Traynor partner, said: 'Unfortunately, the company began to experience financial difficulties over the last 12 months as a result of increased competition within the industry. This led to reduced operating margins which, coupled with significant losses at certain of its sites, meant that cash flow problems started to occur and this eventually resulted in the appointment of administrators.'

The purchaser, Taylor Shaw, is a part of the Waterfall Group, a national company that has been providing catering services to the education, care and business and industry sectors for over 20 years.

Jim Lovett, group managing director of Taylor Shaw, said: 'While a national company with contracts and suppliers country-wide, the South West was the only region in which Taylor Shaw did not have a strong foothold. The acquisition of Pro Serv has changed that.'