Hargreaves, the County Durham based company, has successfully achieved a further strategic acquisition. It has acquired from UK Coal the last remaining independent coke production unit in the UK, Monckton Coke & Chemical Company Ltd based in Royston, near Barnsley, South Yorkshire on 17 th June 2005.
The Board of Hargreaves is delighted after many months of exclusive negotiations to have concluded this deal. Hargreaves sees the acquisition as a major part of its strategic plan and an important part of Hargreaves growth for the future.
In sales terms, it will add c.£25m of revenue to Hargreaves’ existing business; in employee terms it will take Hargreaves’ labour force to over 600.
It will also help Hargreaves’ geographical structure with another business in South Yorkshire, where Hargreaves already has a very significant presence.
Once integrated, this should make Hargreaves the largest UK independent producer and distributor of coke products, it is hoped this will help maintain the long term security of all the employees, and assist in maintaining the existing transport labour force within the Group.
In summary, the Directors believe the negotiations produced a satisfactory result for both parties.
Hargreaves was subject to a management buy out in 2004, when in partnership with Baring English Growth Fund, and supported by its bankers, the company was bought from its previous owner Robert Young in a deal worth £19.2 million.
Since then, in addition to Monckton, the company has acquired R Hanson & Son Limited, the long established bulk haulier based in Barnsley.
For further comment please contact: Hargreaves (UK) – Gordon Banham or Peter Dillon
Hargreaves Services Limited
West Terrace
Esh Winning Industrial Estate
County Durham
DH7 9PT
Tel: 0191 373 4485
