The sale of two West Bromwich steel companies has secured 50 jobs at their sites on Bromford Lane in Oldbury.
D&J Steels and Bromford Iron & Steel, two sister companies in the OSSL Group, were in financial difficulties due to high energy costs and steel price volatility. This was then compounded by the withdrawal of credit insurance, and administrators from PwC were appointed in September.
Both businesses have now been sold as going concerns in two separate transactions.
D&J Steels, a specialist steel stockholding business founded in 1970, has been acquired by Bradford-based Barrett Steel, which will benefit from D&J’s contacts in the engineering, forging, fabrication, oil and gas sectors.
Bromford Iron & Steel is a producer of hot rolled steel and employs 38 people at its historic Oldbury site, where metal forging has been taking place from as early as 1610. The business has been bought by All Steels Trading, based in Thirsk, Yorkshire, which has an annual turnover of £80m.
A statement on the All Steels Trading website said: “The acquisition of Bromford Iron & Steel offers excellent synergy with our other UK steel related businesses, but especially with our Wolverhampton-based special steel sections rolling mill.”
The administrators, Mike Denny and Matthew Hammond, said they are very pleased with the deals, which preserve all jobs and will minimise disruption for customers.
Think Sandwell wishes both companies success under their new owners. To find out what we can do to help you with finance, procurement or growing your business, visit our Business Services pages.