fleet manager Zenith has its announced fifth management buyout in a deal valuing the Calverley company at more than £200m.
HG Capital has agreed to acquire a majority stake holding in the parent company from Morgan Stanley Global Private Equity.
Zenith is thought to have gone through more MBOs than any other company in Yorkshire or indeed the UK.
Tim Buchan, chief executive at Zenith, said: “We thank MSPE for their contribution and are pleased to welcome HG Capital as our new partner.
“We look forward to working together on our long term strategy of continued investment in product and system developments”.
Andrew Land, of HG Capital, said: “We are delighted to be investing in Zenith and to be supporting its high calibre management team. We look forward to working closely with them to continue their growth and success”.
Jean-Marc Jabre, managing director of Morgan Stanley Private Equity, said: “Over the last few years, we have worked closely with the Zenith management team to grow the business, invest in its infrastructure, including its brand, the award winning Pulse platform, and its funding strategy.
“We are proud to have played a part in Zenith’s history and wish them well on the next steps of their development with Hg Capital.”
Dealmaker Martin Jenkins of Deloitte in Leeds advised HG Capital and Zenith. He has advised on all five MBOs. Lawyer Jonathan Jones of Squire Sanders provided legal advice.
Andrew Cope, the outgoing chairman and former managing director, will remain an investor. He said: “It’s a good deal for everybody.”
The deal is subject to regulatory approvals.
Zenith is the UK’s largest independent leasing, fleet management and vehicle outsourcing business and manages a fleet of more than 40,000 vehicles. It is one of Yorkshire’s most visible private equity success stories.
The Morgan Stanley buyout in September 2010 was the fourth and valued the company at £85m.