MRINetwork’s future in the UK is in the hands of a venture capital company, following a deal that sees its US parent reduce its interest.

MRINetwork has sold the master franchise licence for international locations to Consensus Business Group, the investment vehicle of property tycoon Vincent Tchenguiz. The deal covers all MRI operations outside the US and Japan, where MRI plans to open 100 offices over the next few years.

Consensus has set up a company, MRI Worldwide Network  (MWN), to operate the franchise. It has opened its headquarters in Park Lane, in London’s West End. MRI Network vice-president Steve Mills has relocated back to the UK from Philadelphia to join MWN.
Individual MRI franchise operators are not likely to see any variation in fees they pay over, about 10%. However, it will now go to MWN, which will pay a small percentage to Philadelphia-based MRI Inc, part of CDI.

MWN chief executive Michael Jalbert told Recruiter it would seek to grow organically, and try to generate more from the existing offices. It has 70 offices in the UK. He added he may look to open more offices later and that he plans to retain the Windsor headquarters for UK operations.
Steve Mills told Recruiter (19 April) that MRI had planned rapid expansion in the UK. Jalbert declined to say how much he had paid to MRI Inc for the licence.

MRI will hold a meeting of UK franchise operators in June to iron out details. David Hillman, owner /manager of a Bedfordshire MRI franchise, said: “I see the deal as positive. It will give us more focus.”
MRI Inc reported revenue of $62m in 2005. Most of this came from the US. It operates in about 35 countries in total. Last month, CDI said MRI Inc’s revenue for the first quarter was up 13.2% over a year ago, at $15.7m. However, operating profit fell to $3.28m, from $3.45m. It said much of the revenue growth had been generated by lower-margin staffing. It had also suffered higher expenses.
MRI specialises in senior staff, just below chief executive level.