A well-known Waikato based transport operator, Te Kauwhata Transport, which employed 100 people has been placed in receivership – although hopes are high for a sale.
Industry rumours, and company register records, indicate Otorohanga based Freight Lines Ltd is the most likely buyer for much of the business.
Te Kauwhata Transport was founded by sole director Robert Pasley in 1982 and grew from a two truck enterprise to run 60 curtain-side vehicles. The company held several major haulage contracts and the news came as a surprise to those in the industry.
One industry insider told DIESELtalk that Pasley was regarded as a as “a good operator”.
DIESELTalk understands the company was operating with high levels of debt. The firm ran into difficulties when it was unable to refinance after bankers called time on further borrowing.
Yesterday’s receivership started as security guards were positioned at the gates, and rumours began circulating that bankers had declined to refinance leaving insufficient time to seek further capitalisation options.
PWC receiver Colin McCloy is reported as saying that that Pasley had instructed their bank to appoint receivers.
McCloy is also reported as saying that he believes the underlying business to be good, but too heavily indebted.
A PWC spokesperson they are very excited to be talking to another buyer, with an announcement likely next week.
A second firm, Te Kauwhata Transport (2020) Limited, now appears on the company register owned and directed by the members of the Freight Lines owning Baker family. It was renamed today Heathstock Haulage.
