Stobart Group is to sell a controlling interest in its iconic trucking business to DBAY Advisors Limited (DBAY), a regulated investment manager based in Athol Street, Douglas.
The Stobart Group is selling 51 per cent of its trucking business to the Douglas-based investment firm DBAY.
DBAY will pay £195.6 million in cash for Eddie Stobart Logistics and take on £41million of debt.
Members of the DBAY team are said to have a record of building businesses and creating value in the logistics sector.
Members of the DBAY team are understood to have participated in the acquisition of TDG, one of Europe’s largest logistics services providers, enhancing its new business development function and delivering strong new business wins.
Stobart is probably Britain’s most famous haulier and the green Stobart lorries are a familiar sight on Britain’s motorways
It has been bought by a management team led by William Stobart and backed by DBAY.
William Stobart will leave the group’s board to become chief executive of Eddie Stobart Logistics and lead it as a private company.
Andrew Tinkler, Stobart Group chief executive, said: ‘This is a further stage in delivering our strategy of creating and realising value for our shareholders. Moving forward, we are focused on capitalising on the opportunities in our infrastructure and support services divisions, enhanced by investment in Stobart Green Energy.’
Stobart Group will retain a 49 per cent stake.
William Stobart said: ‘I really welcome this investment from DBAY and look forward to heading up the new partnership as chief executive. DBAY have a strong track record of working with existing management teams within businesses, as they will do with us, to help drive growth.
‘We already have an extremely loyal customer base who we look forward to continuing to work with. It is an exciting time for us to grow this business and I am looking forward to this next stage and the opportunities that it will bring for our employees and customers.’
Iain Ferguson, chairman of Stobart said: ‘This transaction represents an important step in the realisation of value for shareholders. We have found a strong partner to take Eddie Stobart Logistics to the next stage of its development, increasing the scope of the powerful ‘Eddie Stobart’ brand and allowing the Group to focus on its Infrastructure and Support Services Divisions.
‘These proposals allow us to repay debt, make a return of capital to shareholders, stimulate the growth of our Biomass business and bring the Group’s businesses together in a coherent, medium-term value creation plan.’