Advised by Azets, the UK’s largest regional accountancy and business advisors, the the group’s owners are transferring 100% of their shares to the Warwick Street Holdings Ltd Employee Ownership Trust.

Sam Pepper and Richard Green, owners of The Challenger Group, said: "It's such a proud moment to be able to hand over The Challenger Group.

"Selling the company to our employees through the creation of the EOT ensures the stability of the business for the long-term and supports our desire for further continued growth.

Challenger Hydraulics Ltd team are set to benefit as The Challenger Group becomes employee owned.

“This move recognises the value that our teams have delivered over the years, and it is a very exciting opportunity for each individual to take a pivotal role as the businesses progress.

“Creating a great place to work is fundamental to our business principles, and we’re very excited about the next stage of the journey."

The first of the Challenger Group’s businesses started in 1989 and the Group grew steadily over the years to now have four companies, on three sites, with more than 70 employees.

Tariq Javaid, Corporate Finance Partner at Azets said: “The Challenger Group is a business exceptionally well-suited for employee ownership, being an organisation with a strong culture, firmly established values, and an emphasis on the quality of its people.”

Sam Pepper and Richard Green will remain in the business as Joint Managing Directors.

Yorkshire-based The Challenger Group to become employee-owned