Former Asda chief Archie Norman yesterday became chairman of tool hire company HSS after securing a £310m takeover of the firm supported by HBOS.
HSS was sold by venture capital group 3i to hedge fund Och-Ziff Capital Management Group and Norman's investment vehicle Aurigo, as well as members of the senior management team led by chief executive Chris Davies.
HSS is currently undergoing a transformation from a pure tool hire company to a logistical and technical partner to trade customers, who make up 90% of sales.
Norman said the new owners intended to back the firm's existing growth plan, which involves increasing investment in the distribution and depot network.
Former Tory MP Norman is best known for his transformation of supermarket chain Asda. After joining the company in 1991, when the group was on the brink of bankruptcy, he initiated a turnaround before selling it to US-based Wal-Mart for £6.7bn in 1999.
Yesterday's deal represents the first major transaction for Norman's Aurigo Management since he founded the firm a year ago to focus on acquiring companies in the consumer, retail and financial sectors. Aurigo is backed by investment funds managed by Perry Capital UK, Bank of Scotland Corporate, RIT Capital Partners, and Och-Ziff.
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