Buyer found for Target Express

A buyer has been found for the collapsed haulage firm Target Express, four days after the Revenue Commissioners shut it down due to a massive tax debt.

Liquidators struck a deal for the well-established courier and freight-carrying operation with the leading logistics firm Masterlink.

Grant Thornton confirmed it had sold the troubled business, founded by Seamus McBrien, after a day of talks with the company and banks.

Masterlink told the liquidators that it is their intention to save as many as possible of the 300 jobs in the Republic.

“We would like to particularly thank the Target Express employees for their engagement and co-operation over the last number of days which facilitated us in securing this sale,” liquidators Stephen Tennant and Michael McAteer said.

Masterlink, founded in 1992, has depots across Dublin and in Cork city, Mallow, Galway and Newry.

The company has annual sales of more than €30m, is responsible for managing more than €1.2bn of stock a year and employs more than 350 staff.

In a statement it said: “It is not possible to indicate exactly how many jobs will be restored at this point in time, as this will necessarily be dependent on customer support for the former Target Express business.”

Talks are to open with customers immediately to try to restore disrupted old contracts.

Sacked staff have been told they will get unpaid wages and redundancy.

The State is to pay the monies owed, but the process could take up to four months due to backlogs in the Department of Social Protection.

Employees will get up to €600 for wages and statutory redundancy - two weeks’ pay for every year of service, up to €600 a week.

The High Court order to appoint a liquidator was made to safeguard assets after the business ceased trading.

Management had told staff that the Revenue had frozen bank accounts, including a pot of €154,000 for wages.

Mr McBrien claimed Revenue refused to strike a deal over a debt of less than €500,000. Revenue insisted they only act to enforce if all avenues are exhausted.

Target Express, the main sponsor of Tyrone GAA, had depots across the north and south of Ireland and forecast a profit of €1.6m this year.

Mr McBrien maintains that his firm paid €1m to tax chiefs in the last six to eight weeks and another €214,000 on Monday.

He claimed that another €80,000 was ordered by Wednesday and that his account was frozen on Thursday, despite the money being promised by Friday.