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FBC Manby Bowdler Advises on Expansion of Staffordshire Logistics Firm- 28/03/2011
West Midlands law firm FBC Manby Bowdler LLP has advised a Staffordshire logistics operator on an acquisition which broadens its customer base.
David Hughes and Stuart Downes in FBC Manby Bowdler’s Wolverhampton Corporate Department advised Fradley-based MTH Express Services Limited on its acquisition, for an undisclosed sum, of the business of Pallet Systems Limited, based in Wednesbury. Both companies are members of Palletways, a UK and European palletised goods distributor which operates through a network of distribution businesses.
The sale of Pallet Systems was prompted by the wish of its owners to retire, and sees its employees and operations move to MTH Express Services’ depot at Fradley Park, where the combined company will now employ 34 people, with an annual turnover of around £5 million. Tracy Worthington, partner and head of employment at FBC Manby Bowdler, advised on the TUPE and other employment aspects of the deal.
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Mark Hassel (left) & Stuart Downes (right)
Both MTH Express Services and Pallet Systems deal with customers within a 100 mile radius of their West Midlands’ bases and focus on moving palletised goods throughout the UK and Europe.
Mark Hassell, MTH Express Services’ principal shareholder, says: “We are keen to grow our business through acquisition in this tough market. Sales are recovering from the recession of the past two years, and the addition of Pallet Systems’ business will help us grow more quickly.
“We have known the owners of Pallet Systems for some time, and are pleased that we have now been able to agree a deal which suits everyone.”
According to managing director Dez Shirley, MTH Express Services will continue to invest in its business. He said: “We have just taken delivery of five new vehicles to help us maintain our leading edge service and meet our customers’ needs.”
Stuart Downes of FBC Manby Bowdler said: “MTH Express Services operates in a tough market sector, but its strategy of growth through acquisition and investment is clearly working, and positions them well as the economy starts to pick up.”
With 35 partners, FBC Manby Bowdler is one of the largest law firms in the West Midlands. The firm has offices in Wolverhampton, Willenhall, Telford, Shrewsbury and Bridgnorth.