Boughey Distribution owner NWF Group has acquired Shropshire-based Swan Petroleum for £2.75m.
The group expects the move to boost volumes in its fuels division by 10%, as well increasing is coverage in the North-West and North Wales.
Swan Petroleum operates from three sites in Babbinswood, Shropshire; Byley, Cheshire; and Irlam, Greater Manchester. It holds two O-licences, with authorisation for 19 vehicles and two trailers. For the year ended March 2011, the business produced turnover of £28.5m, with an operating profit of £200,000.
Cheshire-based NWF says it will integrate the new business into its existing 17 depot structure, and will retain the Swan Petroleum brand.
Richard Whiting, chief executive, NWF, says: “We are excited by the opportunities that this acquisition provides. It represents a significant bolt-on to our fuel division’s operations.
“Following the acquisition, NWF will deliver more than 470 million litres of fuel per year to more than 38,000 customers from 20 sites across the UK.”
NWF expects the new business to be making a profit within its first financial year.
In January, NWF bought oil distributor Evesons Fuels for £3.3m, which the company said was part of its ongoing strategy to make “bolt-on acquisitions to expand the business”.
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