RBS backs MBO of Fleet Support
A YORKSHIRE commercial vehicle assistance company has undergone a management buyout.
The purchase of Barnsley-based Fleet Support Operations, which has a turnover of almost £7m, for an undisclosed sum was backed by The Royal Bank of Scotland.
The deal was structured by Jonathan Emmott and Chris Wright from the corporate finance team at Armstrong Watson and sees 100% of the equity sold by former owners David Tear and Richard Brown to the new management team of Sharon Dawson and Andrea Gray.
Paul Johnson and Rick Dhillon of Irwin Mitchell provided legal advice to the management team and the RBS funding was provided through Peter Gray and Andy Bissett from its Leeds banking team.
The business, which has 30 staff, derived from a local breakdown and recovery company called Highway Recovery that was established in 1968. Fleet Support Operations was then set up in 1995 and has grown to now offer nationwide and European commercial vehicle breakdown, recovery and roadside assistance to blue chip commercial haulage fleet firms.
Ms Dawson, which joined the business 12 years ago part-time on its control desk and is now finance and business development director, said: “We are delighted to have concluded the deal and we have big plans for Fleet Support.
“Andrea and I have been working together for a number of years and we have played a key role in developing the company in to the successful business it is today.
“Between us we have over 30 years experience in the industry and we see this continuity of operations as a vital factor in our future success.”
Ms Gray is the firm’s operations director. Fleet Support repairs vehicles across the UK and Eurpoe for its customers and offers a real-time fleet aid data website which allows customers to see the status of their vehicles.
Ms Dawson added: “We have got a bit of Yorkshire grit and offer a good service. We will continue to focus on the business’ growth and on minimising the significant costs of vehicle down time which we believe to be more relevant today than ever before.”
Peter Gray, relationship manager, Commercial Banking at RBS said: “Both Sharon and Andrea bring considerable expertise and business acumen to Fleet Support and we are pleased to have provided the funding to facilitate this MBO.
“In the current climate this transaction is evidence that there are still opportunities to back good businesses through individual deal structures that support high quality management teams who have the opportunity to make the most of a business in a sector with good long-term prospects.”
