40 jobs saved as haulage business acquires Gateshead freight transport company

North East haulage business DFH Transport Limited has saved 43 jobs after acquiring OSE European Limited out of administration.

Directors of Gateshead-based OSE had called in administrators from Wilson Field on 18th June after the company suffered cash flow problems and arrears with HMRC.

OSE specialised in freight transport and provided road transport solutions for the UK and continental Europe.

DFH Transport bought the business and its assets for an undisclosed sum with all staff being transferred to the new company under TUPE.

Kelly Burton, director and insolvency practitioner at Wilson Field, said: “OSE had suffered a bad debt in 2014 and despite implementing cost-cutting measures, restructuring finance and the director introducing personal funds into the company, cash flow problems ensued resulting in the company entering a Company Voluntary Arrangement in 2016.

“Following a downturn in trade the CVA contributions fell behind and in early 2018, arrears with HMRC placed the company under the threat of winding up proceedings.”

OSE, which traded from Gateshead and Veurne in Belgium, operated a mixed fleet of rigid vehicles and tractive units to accommodate a range of client requirements.

The company was incorporated on 5th April 2011, under the name of Trans-European Express Limited and subsequently changed its name to OSE European Limited on 23rd October 2012.

In saving all the jobs, Wilson Field mitigated employee termination claims in the nature of wage arrears, accrued holiday pay, redundancy and pay-in¬lieu of notice which equates to almost £140k, offering a better return to creditors.

Kelly Burton added: “We are pleased that the sale of the company to DFH Transport has resulted in all 43 jobs being secured and that the business will continue to trade.

“This is a substantial number of jobs saved. We determined that a pre-packaged sale would be in the best interests of creditors.”

David Currie & Co of Manchester dealt with valuations while Shulmans Solicitors of Leeds handled the legals.

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