THE NATIONAL operations of a Dundee-based vehicle distribution firm and its 650 or so employees have been saved after its sale to a new company, writes Ian Findlay, industrial reporter.

The future of the jobs had been under threat since last September when administrators were called in to Richard Lawson Auto Logistics, which operated at 22 locations across the UK, including Dundee and Kirriemuir.

The acquisition deal announced yesterday means that among the jobs secured are 35 at the Dundee HQ and 11 in Kirriemuir. Expansion is planned for the company.

Joint administrators Bruce Cartwright, Rob Hunt and Graham Frost, from accountants PricewaterhouseCoopers, said yesterday that a deal had been concluded for the sale of the business and assets to the Autocare Group.

The sale also includes the shares in a wholly-owned RLAL subsidiary called Autocare UK Limited, which was unaffected by last September’s move into administration. The two businesses employ 650 people across the UK.

Since the administrators were called in the business, which specialises in not only vehicle distribution and logistics but also fleet management, has been extensively restructured.

Existing management, including managing director Colin Johnson and finance director Sandy Fyfe, will switch to Autocare Group, which is backed by private finance.

The management team will also be strengthened with new appointments as a programme of planned expansion is implemented.

Autocare Group will initially focus on consolidating strong relationships with its major vehicle manufacturers and fleet operator customers.

Mr Cartwright said yesterday that over the past four months the administrators has witnessed “exceptional commitment” on the part of employees, customers and major creditors to work with the administrators to preserve the business while they looked at options to take the business forward.

“This is a complex logistics business and there have been a number of issues to address,” he commented.

“We are therefore delighted to have been able to negotiate a solution whereby these businesses may continue to develop under new ownership going forward, preserving 650 jobs.

“I would like to thank all the parties who have contributed to this successful outcome.”

David Horton, of Manchester-based management consultant Grafton Associates, who advised Autocare Group, said the new owners were pleased to have been able to acquire the “well respected business” and were excited about the opportunity to develop the business to its full potential under new ownership.

“They anticipate a period of stabilisation on the transport and distribution side, while the fleet management business will embark on a strategy of relatively aggressive growth alongside a number of innovations,” he added.