The UK’s largest independent privately-owned vehicle management group has announced that private equity investor HgCapital has bought 80% of the Leasedrive Group, with former major shareholder Lloyds Development Capital (LDC) and the management having rolled 20% of their investment/equity into the new financial structure.
The senior executive team remains the same and is led by David Bird as managing director; Roddy Graham as commercial director; Paul Fleming as operations and sales director; David Foulds as financial director; Joe Howick as rental management director; Dominic Moran as account management director; and Sean Farrell as business development director. The current senior management team will also remain in situ.
David Bird, managing director of Leasedrive Group, said: ‘This new investment, which sees the senior management team retain equity and shareholding, demonstrates the confidence both we and our new backers have in the future of this company.
‘HgCapital is very impressed with our management expertise and capability and excited about helping with further growth. Following HgCapital’s investment, a well-known industry figure is joining the business as non-executive chairman replacing Peter Opperman who joined the business in 2008 when LDC first invested. We are thrilled to welcome Jon Walden, who has held many senior positions in the automotive industry including managing director of Lex Vehicle Leasing.
‘HgCapital has an excellent track record of successfully investing in growth businesses. It has a demonstrable track record of identifying and working with leading technology-enabled service companies to achieve sustainable growth. HgCapital recently sold Epyx, the automotive technology solution provider.
‘This new investment represents a further major milestone in the development of our business. Our vision is to constantly strive to deliver the highest quality bespoke vehicle management service and demonstrably add value to our clients through investment in people, world-class fleet management systems and totally-integrated innovative solutions.
‘For our staff and valued customers, we believe this transaction provides us with renewed stability and strengthens our position for future growth. We have a proven track record of buying out, growing and improving the performance of this company.’
Andrew Land of HgCapital, who will also be joining the Leasedrive board, said: ‘We had previously identified the leasing sector as a core focus area and were particularly impressed with Leasedrive and the fantastic business built by its management. We see real growth potential for the company as more organisations recognise the potential of the company car as a recruitment and reward tool in the war for talent.
‘Leasedrive has built a quality reputation which is a key differentiator in this competitive and growing market. We were particularly attracted to its differing sources of revenues which provide the business with significant protection in economic downturns. Indeed, the business has continued to grow throughout the recent economic recession.
‘The group has built a high quality client base not only by developing unique technology platforms and innovative products including salary sacrifice, but also by providing levels of service and support which far exceed industry standards. This was recognised this year with Leasedrive receiving the 2013 Fleeteye CSI award for fleets of over 250 vehicles.
‘Leasedrive has an outstanding management team that is responsible for this and which has already demonstrated its ability to build shareholder value by successfully delivering on two transactions, including a complex merger.’
