BizDojo sold to international workspace provider IWG

Global flexible workspace provider IWG has bought New Zealand coworking firm BizDojo.

IWG is the owner of workspace companies including Regus, Spaces, No18 and Basepoint.

It already has a presence in New Zealand with 14 Regus locations in Auckland, Wellington and Christchurch.

The company’s New Zealand country manager, Pierre Ferrandon, said IWG was pleased to have the opportunity to support an entrepreneurial New Zealand company that had grown something original from the ground up.

‘‘IWG is very pleased to support this fantastic Kiwi concept with our global network, resources and experience,’’ Ferrandon said.

‘‘BizDojo has gained a significant following over the years. Bringing it into our network offers New Zealand businesses greater variety, with more, characterfilled locations. Our growing network in New Zealand enables our customers to work however and wherever they want, with more workspaces on the way.’’

BizDojo co-founder Jonah Merchant said the team was looking forward to benefiting from IWG’s global reach and expertise.

BizDojo Group shareholder Tim Norton earlier paid $100,000 to Auckland Tourism, Events & Economic Development (Ateed) in a failed bid to buy time to complete the sale of the business and avoid liquidation.

Norton said the co-working space company’s ambitious decision to open four new Auckland sites last year ‘‘pushed too far’’ and it was now paying the price.

Norton’s personal payment to Ateed bought BizDojo an extra three weeks to complete the company’s sale, he said.

BizDojo Auckland, a separate entity set up by BizDojo Group to hold the sublease and operating contract for Ateed’s GridAkl site in central Auckland CBD, is in liquidation.

Ateed spokeswoman Amy Robens said it wanted the liquidation process to run its course without interference.

BizDojo Auckland owes $341,000 to Ateed in unpaid rent, the first liquidator’s report said. It was placed into voluntary administration on December 6 and Ateed took over BizDojo’s contracts.

Ateed voted to have BizDojo Auckland liquidated on January 19. BizDojo changed its name to BDG Group that same day.

Norton said he and BizDojo’s three main shareholders, Jonah Merchant, Nicholas Shewring and Lachlan Sloan, worked with its creditors, including the Wellington City Council, as it sealed the sale deal.

He said every creditor, except Ateed, accepted the sale of BizDojo to keep its co-working spaces operating in Auckland, Wellington and Christchurch. ‘‘[Ateed] did not want to be part of the deal and that is OK. Instead we reached a deal with them where a business was given to them.’’