Selling Your Distribution and Logistics Business

McNicoll Vehicle Hire Ltd

Joe Norris, Associate Corporate Director at KBS, has advised on the sale of commercial leasing company McNicoll Vehicle Hire to Avis Budget Group.

Founded in 1971, McNicoll is one of the largest vehicle hire companies in Scotland, boasting a fleet of over 1,400 vans, cars and buses.

Operating with offices in Edinburgh, Newbridge and Livingston, McNicoll has cemented itself as a market leader and received Business Reporter’s Best of British Award 2022.

“McNicoll was very attractive from a profitability perspective and due to its modern, well-maintained fleet of vehicles,” said Joe Norris.

“There was a great opportunity for a buyer to seamlessly integrate McNicoll’s fleet into their own without the need for repairs and replacements.”

Directors David and Gillian Stewart instructed KBS Corporate on the sale of McNicoll as they believed it was the right time to partner with a larger firm and push the business to its next level.

Sara Fletcher, Senior Corporate Document Writer at KBS, worked alongside the shareholders to create engaging marketing materials that highlighted McNicoll’s strengths.

Sara advised: “When marketing the business, it was important to focus on McNicoll’s status as Scotland’s largest vehicle rental company, highlighting its substantial fleet of vehicles and long-term customer relationships to establish it as an opportunity with scope for further growth.”

McNicoll generated significant interest across the commercial leasing M&A market, with the successful offer being received from Avis Budget Group.

With operations in 180 countries, Avis is a global organisation in the leasing and rental sector, benefitting from an international fleet of 655,000 vehicles.

McNicoll will join Avis’s 10,250 rental locations, becoming a Scottish base from which Avis will pursue further expansion.

Alan Oliver-Smith, Avis’s UK General Manager, said: “Investing in Scotland, broadening our vehicle rental offering and working alongside a locally owned and well-renowned business is a core focus for us.

“As we venture into this exciting partnership, we look forward to building on the McNicoll team’s passion and expertise for short-term and long-term vehicle hire.”

David Stewart, McNicoll’s Managing Director, added: “The values of Avis are strongly aligned with those of McNicoll and our combined vision for the future gives our talented local staff amazing opportunities to develop their careers.

“By combining the strengths of the two companies, we can provide our loyal customer base with an even better rental experience whilst also attracting new customers across Scotland. We’re very much looking forward to a bright future.”

Commenting on Avis’s acquisition, Joe Norris said: “Avis is one of the largest vehicle rental companies in the world, so this feels like the perfect fit for McNicoll.

“Avis was attracted to McNicoll’s extensive fleet, strong customer relationships and sustained growth over recent years. I am delighted with the outcome we achieved for David and Gillian in terms of the value generated and the new home we have found for their business.”

LTM Design Ltd

LTM Design, a specialist provider of end-to-end traffic management solutions, has been sold to The Traffic Group (TTG) in a deal overseen by Charles Needham, KBS Corporate Deal Executive.

Founded in 2015, LTM, based in Leighton Buzzard, Bedfordshire, offers specialist project management services across the commercial and public sectors.

The business benefits from relationships with local authorities, traffic management groups, civil engineering firms and construction companies.

Commenting on LTM’s value, Charles Needham said: “The business has grown with the presence of continual, repeat custom and its ability to implement a successful referral scheme.

“LTM’s existing management team benefits from vast experience in the traffic management market and was key to driving interest in the opportunity.”

TTG, which formerly operated as AGD Group, has acquired LTM as part of its long-term strategy to address the wider needs of the traffic market.

Lee Philliskirk, managing director of LTM Design, said: “We saw the acquisition as an opportunity to evolve how LTM operates as a business, finding new ways to deliver traffic management while making use of the latest technology.

“We are excited by the prospect of supporting product development and sharing innovation with our combined customer base.”

Over recent years, TTG has developed a portfolio of businesses that are dedicated to designing solutions which create safer and more efficient traffic and transport environments.

Following the completion of the sale, LTM will operate alongside TTG’s growing group of traffic management and system companies, including AGD, MAV Systems and Traffic Group Signals.

Pete Hutchinson, TTG’s Managing Director, said: “With the addition of Lee and the team at LTM, we are committed to ensuring our customers exploit all the benefits of our new technology with greater levels of support.

“This collaboration represents a significant milestone in our journey to create safer, greener and more efficient traffic management systems.”

Charles Needham added: “I am satisfied we found a suitable buyer and negotiated a deal that will allow LTM to grow as part of a larger group.

“I wish LTM and TTG all the best in the future.”

Prigmore Haulage Ltd

A “quick and easy” sale of Prigmore Haulage Ltd, overseen by KBS Corporate, has been praised by the family of the company’s founders, who are now able to retire.

Started in 2000 as a sole tradership by Patricia Prigmore, the Wellingborough-based business has expanded from having a single van delivering hazardous loads for local customers to becoming a limited company with a fleet ranging from 7.5-tonne vehicles up to 44-tonne artics.

Patricia and Kenneth Prigmore have now had their retirement plans enabled by a partial share-sale to Explore Transport and Plant Hire, which is based in Worksop with depots around England, most of which are in the Midlands.

Katherine Prigmore, daughter-in-law of the founders and who joined the business in 2015, is staying on with her husband, Richard, following a transaction in which she praised the part played by Adam Nelson, KBS Corporate Deal Executive.

“The partial sale of Prigmore Haulage Ltd has allowed my in-laws to retire and my husband and myself to continue running the company,” said Katherine. “We have partnered up with a larger company with aspirations to continue to grow on a larger scale than we could have imagined.

“KBS have been honest throughout and there when we needed them. When the offer came through, Adam talked us through the whole process and ensured he had our best interests at heart. This allowed for a quick and easy sale which has taken two months from offer date to completion.

“We are very happy with their service in general from marketing through to sale, enabling Prigmore Haulage to go on and flourish and allow my in-laws to retire in the knowledge their legacy will continue.”

Adam Nelson added: “Prigmore Haulage stood out as it has a strong 20-years-plus history which has helped it to develop a great reputation.

“Through achieving a deal, Patricia and Kenneth Prigmore are now able to step back and retire, while Katherine and Richard can accelerate the business forward with the partial share-sale. I believe this has allowed the family to meet their expectations and move on to their next chapter.

“Explore Transport’s interest was discovered through KBS and we have achieved a very timely deal due to great efforts from all involved.

“I’m happy we have achieved the deal the Prigmore family were looking for and I’m excited to see how the business develops. I wish all parties the best of luck moving forward.”

Adam was also keen to praise the “excellent job” done in providing support and expertise on the deal by Adam Gilbert, Deni Slaveva and Harriet Woolley of AG Corporate Law.