KLH, trading in agricultural machinery from Haddington in East Lothian and Kelso in the Borders, will become a trading division of Scot JCB. It will add to Scot JCB’s network of ten depots, but continue to use the KLH name. All staff will be retained under the new ownership.

In a statement, Scot JCB said KLH would benefit from being part of a bigger group providing technical back-up, training, access to more than 70 engineers, and back office support in computer systems, finance, HR and administration functions.

KLH also gains access to £1.5 million of parts stock and £3m of high-quality used machinery for sale. The purchase comes on the back of a record year for Scot JCB in 2013, with turnover in excess of £100m for the first time.