Giffen, the UK’s leading signalling, electrical engineering and specialist building services business has been acquired by Renew Holdings PLC.
Giffen’s entire management team will remain with the company and will report into Amco Rail, Renew’s rail infrastructure business.
The business, based in St Albans, specialises in mechanical, electrical and power services within the railway environment, working for both Network Rail and London Underground as well as a select number of Train Operating Companies. Giffen has numerous long-term frameworks with Network Rail and London Underground. Giffen is a direct delivery organisation, employing 123 staff and skilled operatives. Following the acquisition, Giffen, whose entire management team is remaining with the company, will report into Amco Rail, Renew’s rail infrastructure business.
This transaction signals the exit of Giffen from the Rcapital investment portfolio, who acquired the business in March 2014. Since that time Giffen has made transformational financial and operational changes that have resulted in growth. Giffen is expected to record revenue of approximately £22m and an adjusted profit before taxation of £0.7m for 30 November 2016 year end.
By acquiring the complementary skills of Giffen, Amco Rail will be able to offer an expanded range of services across the rail network as well as creating opportunities for the Group to provide services to London Underground. Amco Rail is part of the Engineering Services Group supporting UK infrastructure and is listed on FTSE AIM 50.
Jamie Constable, CEO of Rcapital said: “Over the last two years we have supported the management team in delivering their vision by focusing on what the business is known and respected for. The excellent exit that we have achieved today is down to the hard work and commitment of the management team and we wish them every success into the future.”
John March, former Chairman and now Managing Director of Giffen commented: “The support from the Rcapital team has been invaluable, from the outset they could visualise the intrinsic value in Giffen and, through close support and strategic guidance they helped set the foundations for growth.”