Engineering group snaps up £22m-turnover business
ENGINEERING services group Renew has acquired a specialist mechanical and electrical business which works with Network Rail and London Underground.
Giffen Holdings, based in St Albans, has been acquired in a deal worth £7m – £5m for the business and a further £2m required to redeem loans from Giffen’s private equity owners.
The £22m-turnover business specialises in rail work and employs 123 staff. It is expected to have returned £700,000 in adjusted pre-tax profits for the year to 30 September.
At the beginning of October 2016, it announced it was one of four subcontractors revealed for a £430m Underground upgrade. Last year it also announced the opening of a new office in York.
Management at the company will remain with the business and report into Amco Rail, Renew’s rail infrastructure business.
Renew, a £500m-turnover business, reported record results for the year to September 2015, with pre-tax profits at £19.6m.
It said that the complementary skills of Giffen would enable Amco to expand its range of services and secure work on the London Underground.
Renew announced record results for the year to September 2015, on revenues of £500m.
The Leeds-headquartered business, which employs 1,200 of its 3,000 staff in Yorkshire, works mainly on maintenance projects in regulated sectors including rail and water infrastructure
Debbie Jackson and Oliver Duke from Walker Morris Corporate Group advised Renew as did Usman Malik from Grant Thornton.
