A FAMILY-OWNED retailer has been bought by a market rival.

North East Convenience Stores (NECS) has been taken on by James Hall & Co Limited.

The 30-outlet business has shops across the region, including bases in County Durham, Teesside and Hartlepool.

Bosses Naveen and Sanjeev Vadhera said the sale will give 400-job NECS a fresh lease of life but confirmed they will stay with the company.

The brothers revealed NECS will become a subsidiary of Lancashire-based James Hall’s group of companies, adding they will operate as executive managers in the venture.

James Hall is the Spar wholesaler for the north, serving more than 600 stores.

Naveen Vadhera, NECS managing director, said: “We are happy to have sold the business to James Hall, who completely understand our aspirations and ethos.

“The similarities between the two companies will help NECS as it continues to develop and grow over the next few years.

“Being fit for the future is the challenge for all retail groups at the moment and we believe that with the support and experience of James Hall, and the strength of the Spar brand, NECS will be at the forefront of convenience retailing in the years to come.”

Sanjeev Vadhera, NECS financial director, revealed the business will rebrand its stores to Spar in the coming weeks, adding it has identified new shop openings for later this year.

He added: “Although there is a change of ownership, it’s business as usual.”

NECS, which has stores in Stanley, Shildon, Shotton Colliery and Kelloe, County Durham, was supported on the deal by the Newcastle teams of KPMG and Square One Law.

Rod Wilkinson, who leads KPMG’s North-East corporate finance practice, said: “Having known Naveen and Sanjeev for a number of years, we have seen them develop their business into a market leading convenience store operator and wish them well for continued successful leadership under the Spar brand.

Marie-Louise Bozonet, partner in Square One Law’s corporate team, added: “This acquisition is good news for the region as Naveen and Sanjeev will be staying on in executive management positions to drive the business forward through expansion.”

NECS also has outlets in Hartlepool, Norton and Thornaby, near Stockton, Sunderland and Newcastle.