28.05.2008

Speedy acquires again

Speedy Hire, the UK’s largest equipment rental company has acquired the Temporary accommodation business of Carillion Asset Management (CAM) and signed a five year Strategic Partnering Agreement with Carillion, one of the UK’s largest contractors.

CAM hires and sells portable and modular accommodation, servicing both the Carillion group's internal accommodation requirements and those of a number of external customers.

Speedy is paying £11.0 million in cash while assuming around £1.5 million of debt in the form of operating and finance leases. Working capital and cash are not being acquired with the assets.

CAM's accommodation business operates from three UK depots and has 23 employees, all of whom will transfer to Speedy as part of the transaction. The business will be integrated into Speedy's Accommodation Division.

The agreement will extend Speedy's position as Carillion's preferred supplier of its full range of rental products and will extend across all Carillion group companies, including the recently acquired Alfred McAlpine business.


Steve Corcoran, chief executive said: “We are very pleased to strengthen further our long-standing relationship with Carillion. The entering into of a long-term Strategic Partnering Agreement will enable both companies to maximise supply chain opportunities following Carillion's recent acquisition of Alfred McAlpine.”

“I would also like to extend a warm welcome to those employees of Carillion's accommodation business who will be joining Speedy.”

Chris Dyson, Carillion’s building procurement director, said: “Carillion is delighted to have strengthened its relationship with Speedy Hire through a new five-year agreement. Speedy Hire is one of our key suppliers and this agreement will bring significant benefits to Carillion as we continue to develop and grow our business.”