Speedy Hire sells business for £34.9m
The company, which had a net debt of about £80m as on March 31, said the disposal would result in a £16m exceptional loss on sale.
Speedy’s accommodation hiring business provides a range of temporary accommodation and storage units, both portable and modular, for hire or sale.
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Hide AdFor the financial year ended March 31, 2010 the unit had an adjusted operating loss of £2.1m and contributed about 12 per cent to the company’s total revenue.
Speedy and Algeco Scotsman’s UK subsidiary Elliott Group will also enter into a three-year agreement to provide integrated services that combines the expertise of both companies.
Elliott Group has five Yorkshire offices - in Cleckheaton, Wakefield, Sheffield, Bridlington and Hull.
The company, which provides services to construction, manufacturing, industrial and rail companies, said the deal would be completed by April 30.
The disposal would also enable the company to focus on core operations and further develop its non-hire services.