£16.5m buy-out sees family take control of van rental agency
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A Loughborough-based commercial van rental agency has become family owned after buying out minority shareholders in a £16.5m deal.
The deal has been supported with £10.5m from HSBC UK, while Reflex Vehicle Hire has used £6m of its own money to buy back 31% of its business from investment company BGF and independent investor Stewart Oades.
Reflex Vehicle Hire, which turns over £45m a year, is now 92% family-owned and controlled by the Waring family, working alongside two individual shareholders.
The business is now aiming to grow at a rate of 10% a year over the next four years – and after these four years, it plans to list the company on the UK stock market.
Oliver Waring, chairman at Reflex Vehicle Hire, said: “This is an exciting time for our business. We’re really pleased that the share buyback was a smooth and beneficial transaction for all involved and we’re grateful to HSBC UK for making it possible.
“Having greater ownership of the company gives us far more flexibility. We’re now looking forward to embarking on a measured growth strategy, as well as focusing on new products that will help to make our business more sustainable and improve driver safety.”
Ben Foster, relationship director at HSBC UK, said: “Reflex Vehicle Hire’s success demonstrates how innovation and a customer-centric approach can lead to strong growth and stability – even in challenging times. It’s great to see the business return to being family owned, and we look forward to seeing the journey that the Waring family take Reflex Vehicle Hire on in the years ahead.”