A firm providing event management for the Tall Ships in Hartlepool next month, as well as the Great North Run, went into administration today, but was immediately bought.

Touchline Event Management Ltd have been acquired by contract cleaning company Churchill Contract Services Ltd.

Hartlepool Council said it was talking to Touchline to "clarify" the situation, but understood it was "no longer in administration."

The company will provide stewarding and security at the Tall Ships.

Great North Run organisers Nova International said that Touchline's involvement at its event in September was not "integral", although it was monitoring the situation.

Also included in the deal was Touchline's sister company St James Security Ltd, trading as IPC Security, which specialises in security for shopping centres including the Metrocentre, as well as blue chip clients including Sage and Northern Rock.

The deal for the Gateshead based firms will save 878 jobs, three quarters of them in the North-East.

Administrator Andrew Haslam of Begbies Traynor said: "This is the best possible outcome in the circumstances – achieving an immediate sale of the businesses as a going concern will safeguard the bulk of the workforce, with only a handful of jobs being lost.

"In addition, the customer base will receive an ongoing provision of security, experiencing no business interruption with all ongoing and forthcoming contracts being fulfilled."