The assets of a Burton upon Trent locomotive manufacturer have been acquired out of administration.
Clayton Equipment, known across the world for its zero-emission locomotives and mining equipment, went into administration a month ago. All 34 employees were made redundant prior to joint administrators Gareth Prince and Mark Malone from Begbies Traynor being appointed.
The joint administrators have now secured a sale of the company’s assets to Clarke Chapman, a subsidiary of Nottinghamshire-based global engineering firm Langley Holdings. The assets have been acquired under a new company called Clayton Locomotives Limited.
Clarke Chapman has said the Clayton Equipment factory is set to reopen soon.
Stephen Plant, managing director at Clarke Chapman, said: “We are very happy to have rescued this historic UK engineering firm from administration and strengthen UK plc in the process.
“There was competition for the company, and so we’re pleased to have completed this deal. The company has a legacy of creating internationally renowned machinery and in the process showcasing UK engineering talent on the world stage making it a very attractive acquisition.
“It is now time to take the firm forward using the full backing and talented minds of our group. We’re looking forward to reopening the factory soon and plan to recruit.
“Clayton has been in existence for almost a century and under our guidance we’re sure that its name can continue for many more years yet.”
Gareth said: “It was vital that we moved quickly to find a buyer for Clayton Equipment and are very happy to complete a deal with such a successful group.
“With the leadership and support of Langley we are sure that it can drive forwards and thrive to give a boost to the local economy. There is also the opportunity to bring back highly-skilled roles to the area after the factory closed at the end of November.
“To meet our duties we had to secure the best deal for creditors and so with several, serious, interested parties completion took a little longer than expected. We are grateful to all bidders for their patience and ability to progress at pace. However, now that the deal has been finalised we are confident that its new leadership can help Clayton open a new chapter in its history and grow once more on the international stage.”
Clayton Equipment was founded in 1931 by Stanley Reid Devlin as a small operation making parts and maintenance services for Clayton Carriage and Wagon products, later growing into a global builder of locomotives and industrial equipment.
Over the decades it expanded from steelwork and mining locomotives to tunnelling and rail haulage solutions, weathering changes in ownership and becoming independent again in 2005, based in Burton upon Trent with a strong export focus.
