Private equity firm Palatine has bought a majority stake in contract hire and rental firm NRG Fleet Services.
With its headquarters in Skelmersdale, Lancashire and operating a network of 10 technical centres, NRG employs 280 staff and comprises two divisions: Riverside Truck Rental and Direct Tyre Management.
Riverside is a national provider of fleet management services into the UK waste industry and Direct Tyre Management provides fleet owners with a web-based management information system.
Palatine said NRG’s existing shareholders, chairman Sid Sadique and chief executive Steve Richardson, would remain with the business and it had bolstered the management team with the appointment of Steve Dolton as executive chairman.
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James Winterbottom, Palatine senior investment director, said: “On the back of this investment, we look forward to supporting the team to deliver the many opportunities for value creation that present themselves, including a continued buy and build strategy and the further development of NRG’s services, which includes its strong market position for the delivery of electric vehicles.”
Richardson described the acquisition as an “exciting new chapter for NRG”.
He said: “Our customers and employees will benefit from the transaction as the new investment enables us to further develop our business and continue growing from solid foundations.”
The last available set of accounts for NRG showed that the group reported revenues of £92.9m and a pre-tax profit of £4.2m for the year ending 30 September 2019.
Sadique was recently behind the pre-pack purchase of Roanza Mercedes dealerships in Warrington, Deeside, Liverpool, Stoke and Trafford Park via his business eStar Truck and Van.
