A commercial van rental agency has been supported with £10.5 million from HSBC UK to buy out minority shareholders and become a family-owned business.
Loughborough-based Reflex Vehicle Hire has used £6 million of its own money along with £10.5 million of funding from HSBC UK to buy back 31 per cent of its business from investment company BGF and independent investor Stewart Oades.
Reflex Vehicle Hire, which brings in a revenue of £45 million a year, is now 92 per cent family-owned and explicitly controlled by the Waring family, working alongside two individual shareholders.
The business is now aiming to grow at a rate of 10 per cent a year over the next four years – and after these four years, it plans to list the company on the UK stock market.
Oliver Waring, Chairman at Reflex Vehicle Hire, said: “This is an exciting time for our business. We’re really pleased that the share buyback was a smooth and beneficial transaction for all involved and we’re grateful to HSBC UK for making it possible.
“Having greater ownership of the company gives us far more flexibility. We’re now looking forward to embarking on a measured growth strategy, as well as focusing on new products that will help to make our business more sustainable and improve driver safety.”
Ben Foster, Relationship Director at HSBC UK, said: “Reflex Vehicle Hire’s success demonstrates how innovation and a customer-centric approach can lead to strong growth and stability – even in challenging times. It’s great to see the business return to being family owned, and we look forward to seeing the journey that the Waring family take Reflex Vehicle Hire on in the years ahead.”
Reflex Vehicle Hire was set up in 2012 and operates as a B2B van rental company. It has a fleet of nearly 6,000 vehicles and offers 24/7 breakdown recovery support 365 days a year. The company has 150 employees and serves customers in industries including telecommunications, infrastructure and utilities.