The group bought competitor Wizard Workspace in a deal worth £2.15 million.
The lion’s share of the consideration, £1.7 million, was paid in cash on completion, and funded from the group’s existing bank borrowings. A further £450,000 is deferred until June next year. Under the terms of the deal, Lavendon assumes Wizard’s £8.7 million debt.
This latest transaction expands Lavendon’s rental fleet and its customer base. It is part of the group’s strategy of strengthening its position in the UK’s powered access equipment market and follows its £1.1 million acquisition of Rise Hire in April.
Lavendon supplies its products to a range of clients in the UK and Europe across various sectors including industrial repair and maintenance, construction, and highway maintenance.
Norwich-based Wizard operates a rental fleet of 1,300 machines in the UK through a network of nine depots. In 2006, Wizard generated a turnover of £8.8 million and pre-tax profits of £600,000.