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McLellans bought from administrators
Page 9
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By Roger Brown HW COATES HAS expanded in Scotland after buying McLellans Transport out of administration.
The privately owned Leicestershire firm made the move after Blair Nimmo and Gary Fraser from KPMG were appointed joint administrators of the Scottish company.
McLellans Transport finished with debts of just over Lim on 23 May.
Under the terms of the deal, HW Coates assumes control of the McLellans warehouse in Stepps, near Glasgow.
in addition, Coates has taken on all of McLellans' 70 employees, including director Gordon McLellan. Mark Brimley, warehousing and distribution director at Coates, says the problems at McLellans were caused by contracts not materialising coupled with having to cope with soaring fuel costs. He adds: We believe McLellans Transport was a good operating business.
"Unfortunately, some circumstances and decisions turned it around the other way.
"We believe we can turn it back around — we've got a good customer base that works closely with us."
The expanded company now boasts more than 100 trucks, more than 300 employees, and has 15 distribution sites dotted around the country.
The sites include Cosby, Leicestershire; Rugby, Warwickshire; Middlevvich, Cheshire; and Newmarket, Cambridgeshire.
The Coates Group is a founder member and majority shareholder in the Hazchem Network.