Drac Logistics has just announced the purchase of haulage firm Caledonian Logistics for an undisclosed sum in an attempt to expand its footprint in Scotland. The four staff currently operating from Drac’s office in Falkirk will be transferred to the Caledonian Logistics site in Cumbernauld.
Alex Hayes, the Owner and Chief Executive of Drac Logistics said the acquisition allowed his company to set up a Caledonian Logistics container haulage division, based in Grangemouth and Aberdeen. This will see a £600,000 investment for an additional fleet of 10 vehicles and 14 skeletal trailers.
“Caledonian Logistics has a fantastic name for service and that attracted us in the first place. Secondly, we have a strong Scottish customer base and do a lot of food products out of Scotland for European and overseas markets. There’s a shortage of container transport within Scotland, like there is all over the UK and Europe. We’ve put in £600,000 investment as well as other cash to grow the business,” Alex said.
What ultimately convinced Drac Logistics to Pursue Caledonian Logistics was the decision by Caledonian owner Derek Mitchell to retire from the business. He will continue as a director until his retirement in December.
“Drac are currently involved in import and export and will expand the business into these fields. Alex and myself had been chatting for the best part of a year and a quarter, and it obviously grew arms and legs from February onwards,” Derek commented.
“It’s been part of my life for 24 years, but I’ve sold my shareholding and I’m retiring. I’m 68 in December and it’s time to move on. The message is it’s business as usual. It’s only a ownership change. The company name has to be retained, the company colours have to be maintained and, obviously, the staff have got to be in continuous employment. Nothing changes,” concluded Derek.
Caledonian Logistics, which has 145 employees and operates a fleet of 90 trucks, runs depots at its headquarters in Kintore, as well as at Oldmeldrum, Inverness and Cumbernauld. It also owns a parking yard in Lockerbie.