US-owned Heil Europe was created in 1973 and the companys American 100-year-old business continues it has been part of the Dover Corporations Environmental Solutions Group.
Farid European Group entered the UK market in 1992 through a joint venture between Gordon Smith and Farid Industrie of Italy, trading as Farid Municipal Vehicles Limited.
Farid is based in Arundel, Sussex where it assembles and sells a range of refuse collection vehicles (RCVs) and other equipment including tankers and bin washers.
Heil has its base at Hillend, Dunfermline where it produces RCVs for the UK and European market, including the Big Bite which has a refuse carrying capacity of 31m3 with a large 2.5m3 hopper.
Purchase
In a statement this afternoon, Farid said that the purchase of the Heil Europe Business of Environmental Solutions Group through Farid European Groups subsidiary Farid UK Limited, will strengthen its position in the UK and across Europe, increase the product range and strengthen the service offered to customers. No price for the deal was disclosed.
The statement added: Over recent years its carefully managed expansion in the UK and Europe has seen a huge rise in usage of Farid waste management equipment – Farid RCVs and Moro tankers. Farid has restructured its business operations in the UK and appointed where needed new management.
The company said it is now focused on providing the right mix of vehicles suited to customer need and providing after-sales service to complement the high quality of products offered.
Manufacturing
The sale includes Heils 9,000 square-metre manufacturing facility in Hillend, Scotland, rights to the use of the Heil brand for four years, and the use of intellectual property on the companys vehicle range.
Farid said it will continue to run two both the Arundel and Dunfermline sites with manufacturing and assembly remaining in Hillend, Scotland. Farids base at Arundel, West Sussex will also remain providing the company with much improved UK coverage.
However, a review of the whole business is expected in the wake of the acquisition.
Marco Orecchia, chief executive of Farid European Group said: “Farid and Heil recognise the importance of choice, value and the emphasis of high standards in terms of service and product quality coupled with the expectations of our customers in these areas. Customers of both Heil and Farid can be assured of a seamless integration in all of these aspects.
“We pride ourselves on the fact that all our customers are considered as individuals and this development will not dilute our commitment.”
Mr Orecchia added:On a personal note, I would like to add that this was the last major project in which Paolo Martinelli, our previous CEO of the Group, was involved. I am proud to have brought this to fruition.
Significant
One sector expert told letsrecycle.com: This is a significant sale in the RCV market, effectively taking one manufacturer out of the market. There are changing dynamics in the market, with some RCVs lasting longer and there is also pressure on local authority budgets which must be a factor affecting all suppliers.
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