Spice bids to heat up utility group with board shake-up

SPICE'S new private equity owners have drafted in former Centrica chief executive Sir Roy Gardner as chairman to complete its heavyweight board line-up.

Sir Roy said he will use his contacts to help the Leeds-based utility support services group win market share.

Spice, whose work ranges from installing water meters to checking for unbilled properties, recently de-listed from the London Stock Exchange after it was bought by European buyout firm Cinven.

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Sir Roy joins new chief executive David Owens, the former head of Thames Water.

Sir Roy also oversees Compass, the FTSE 100 catering and support services firm. Prior to that he was chief executive of British Gas owner Centrica for eight years. He was also chairman of social housing maintenance group Connaught, which went into administration in September.

The current Plymouth Argyle FC chairman and former Manchester United chairman said: "I am looking forward to working with the management team and Cinven in driving the future growth of Spice.

"I expect this growth to be achieved through organic expansion, a broader geographic outlook and acquisitions.

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"However, the underlying core focus needs to be on providing the very best infrastructure outsourcing services to Spice's current customers and evolving its offer to capture more business amongst current and potential clients.

"I look forward to speaking to our existing and prospective customers at the very highest levels to ensure that Spice can capture market share, exploit new markets and grow substantially."

The group, founded in 1996 by former CEO Simon Rigby, became vulnerable to a takeover after a series of profit warnings. Cinven bought Spice 251.1m after a lengthy takeover tussle.

Mr Owens, who was appointed at the start of the month, said his skills in the regulated sector, combined with Sir Roy's experience and contacts in the energy supply market, make a formidable force.

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"It really is a good move for Spice that Sir Roy has agreed to come on board," he said. "He's a pretty heavy-hitter and I think he will do us a power of good. He's got good contacts not only here but in the US.

"We're in this to grow it significantly. I think we're well positioned for that now. We've got a very strong board, strong financial backers... and some extremely talented managers to take us forward."

Cinven partner and Spice director Pascal Heberling said: "Sir Roy is an individual who combines a genuine breadth of business experience with leadership skills and an intimate knowledge of Spice's markets. We believe that in combination with the newly-appointed executive management, Sir Roy's appointment now completes the realignment of the board and positions the company for investment in long-term growth and value creation."