Doncaster-based HGV firm John Hudson Trailers has purchased Tees Valley Trailers with the support of a £5m funding package from NatWest and Lombard Asset Finance.
The acquisition has almost doubled the size of the firm’s fleet of trailers as well as expanding the team to 60 employees.
Family firm John Hudson Trailers has been operating since 1950. It is now run by John Hudson’s grandchildren and shareholders John Hudson, Dougal Cawley and Graham Robbins.
The business which sells and hires out HGV trailers, as well as offering repairs, refurbishments and testing has continued to operate during the Coronavirus pandemic at a reduced rate.
Over the next three years, the firm hopes to capitalise on Tees Valley Trailers’ specialist experience in the export market, targeting new overseas territories, as well as investing in its fleet management systems and supporting the sales team to improve overall efficiency across the business.
As part of the acquisition, John Hudson, Dougal Cawley and Graham Robbins have become the shareholders of Tees Valley Trailers, which will continue to operate under its own name.
Hudson said: “From our first conversations with Tees Valley Trailers, we could see that their company complemented ours.
“We really liked their business model and the attitude of the staff, as well as their experience in the export market, something that we’ll be looking to grow over the next few years.
“With the funding from NatWest and Lombard, the acquisition of the business went very smoothly and the funding will continue to support us with the modernisation of the Tees Valley Trailers office and computer systems, bringing everything in line with ours.”
The funding was managed by NatWest relationship director, Liam Douglas and Lombard relationship director Veronica Wales.
Andrew Fordham, Partner at Addleshaw Goddard LLP, advised Natwest & Lombard on the transaction, with Paul Goel, partner at Keebles LLP advising John Hudson Trailers.
Douglas said: “John Hudson Trailers is a well-established family business that continues to go from strength to strength, and this acquisition reinforces their desire to expand the company further.
“It’s critical that the transport sector continues to function in present conditions and it’s important that we support the businesses operating in it.
“I have no doubt the talented team at John Hudson Trailers will continue to provide their customers with an excellent service.”