Leasing firm Hitachi Capital Vehicle Solutions has bought the majority of the business and assets of collapsed rival Newtown Vehicle Rentals, including about 7,000 vehicles.
Newtown went into administration last week (2 December) with accountancy firm Deloitte appointed to the firm following attempts to restructure the business over the past 21 months.
Administrator Dominic Wong says: "NVR has historically been a profitable and expanding business with robust revenues and a high-quality customer base.
"It had established a reputation for strong service levels and an offering built on a full fleet management and maintenance service. However, the limited funding available in the recent economic environment for new and replacement vehicles caused the fleet to age, incurring greater maintenance costs that impacted profit and cash flow."
Jon Lawes, managing director at Hitachi Capital's commercial vehicle division, says: "The acquisition by Hitachi represents the best option for all as it ensures continuity of service for customers and employment for the 33 remaining staff."
Newtown was run by Mick Harrison and David Edwards, the latter a former Ryder employee.
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