'Happy is an understatement': New era for Caparo workers as Liberty takes over

Those are the words of a bullish former Caparo boss after the firm was formally taken over by new owners, giving a much-needed lifeline to hundreds of workers in time for Christmas.

Caparo Tubular Solutions has officially began life as Liberty Tubular Solutions.

Liberty House signs yesterday replaced Caparo emblems to signal a fresh start for this site and other parts of the Tubular Solutions business.

Sanjeev Gupta, group managing director of Liberty, said he is optimistic for the future and was delighted to be able to offer a lifeline to 333 workers - 300 of which are in the Black Country.

"This is exciting but also sobering," he said.

"We've got lot of challenges ahead of us in this industry and a lot of work to be done but we're excited by the future vision.

"I recognise I have a huge responsibility."

Mr Gupta said Liberty had decided to step in because Caparo Tubular Solutions was 'a profitable business and a successful business' so taking it over given the tragic situation Caparo found itself was 'compelling'.

The Gupta family owns Liberty House, a steel and non-ferrous metals production and trading group, which operates across the globe.

Douglas Dawson was the former chief operating officer of Caparo and has been installed as chief executive of Liberty Tubular Solutions.

He believes there is a bright future ahead.

"Happy is an understatement about how I feel right now," he said.

"There's a real sense of relief as well and the timing - just before Christmas - couldn't be better.

"I think the investment from the Gupta family couldn't be better sent to a magnificent workforce.

"We have clear expansion plans and hopefully this is just the shot in the arm the West Midlands needs.

"Expansion is really what's on everyone's minds now - both into Europe and worldwide."

The takeover is good news for hundreds of workers ahead of Christmas, after weeks of worry when Caparo plunged into administration.

General operator Matt Hare has worked at the site for four years.

Mr Hare, 26, of Brierley Hill, said: "Obviously when we first heard it was a shock and you start to worry.

"I've got a family with two young kids so was definitely worried.

"Liberty taking over is great news.

"There were a few uncertain weeks but it's really good news for all the workers."

The Gupta family completed the purchase of Caparo Tubular Solutions, a core part of Caparo Industries PLC, from administrators PriceWaterhouseCoopers in the early hours of Saturday morning.

Caparo Tubular Solutions includes the businesses of Caparo Precision Tubes Oldbury, Caparo Tube Components and Caparo Accles and Pollock also based in Oldbury, Hub Le Bas in Bilston, and the Caparo Tubes Tredegar asset in Wales.

A total of 488 Caparo workers have been taken on through sales of the group's business units since it went into administration last month.

After the Guptas' move was revealed on Saturday, Russell Farrington, GMB regional organiser, said: "This is a sliver of good news for workers in the steel industry."

Announcing the sale, Matthew Hammond, Midlands region chairman for PwC and lead administrator, said: "We are delighted to have made further substantial progress with this deal.

"We had targeted selling a number of the Caparo businesses during November.

"Our deals team has successfully concluded transactions in November which preserve businesses and employment."

Caparo went into administration in October, initially putting up to 1,700 jobs in the Black Country at risk.

A total of 245 jobs went at Darlaston-based Caparo Atlas Fastenings, Caparo Forging Europe in Dudley and Caparo Fairbright Wire in West Bromwich, which all closed.

Plants in Cradley Heath and Oldbury saw 78 jobs go.