THE assets of a travel agency that went into liquidation earlier this month have been bought by a Leeds-based rival.

PA Travel, based on Glenfield Business Park, Blackburn, ceased trading because of cashflow problems, caused largely by a fall in bookings.

But Fly Deals Ltd, which specialises in chartered and scheduled flights and package holidays, bought the assets of the company on the day it went into liquidation on November 4.

Managing director, Peter Leathwood, said: "We have retained the majority of PA Travel's 18 employees and hope to turn the call centre in Blackburn back into a profitable entity."

Mr Leathwood said the purchase takes Fly Deals' turnover above the £20million mark and that his company will look to make further acquisitions when the right opportunities arise.

The independent travel company, which is flight only, takes its bookings by phone and on the internet.

Andrew Bowers, of liquidator Bowers and Co, said: "I can confirm the assets of PA Travel were bought by Fly Deals and the business is currently continuing to trade.

"The purchase was approved at the creditors meeting on November 4."