CommercialFleet

Palatine acquires majority shareholding in NRG Fleet Services

Palatine Private Equity has acquired a majority shareholding in NRG Fleet Services, which operates Riverside Truck Rental and Direct Tyre Management.

NRG Fleet Services is headquartered in Skelmersdale, Lancashire, and operates 10 national technical centres, with annual revenues of £90 million and employs 280 people.

Riverside Truck Rental provides fleet management services to the UK waste industry, directly servicing local authority providers and large UK waste management operators. 

It provides leasing and maintenance service across a suite of specialist vehicles, including refuse collection vehicles and road sweepers.

NRG’s existing shareholders Chairman Sid Sadique and chief executive Steve Richardson will be remaining with the business. Palatine has further strengthened the management team with the appointment of Steve Dolton as executive chairman.

James Winterbottom and Palatine investment director Tom Wildig have also joined the board of NRG.

James Winterbottom, senior investment director at Palatine, said: “NRG is a fantastic example of an entrepreneurial business which has seen impressive growth and innovation in its products and services.”

He continued: “Steve and the rest of the management team at NRG have created a stand-out national fleet services business, with a strength in supporting complex fleets.

“On the back of this investment, we look forward to supporting the team to deliver the many opportunities for value creation that present themselves, including a continued buy and build strategy and the further development of NRG’s services, which includes its strong market position for the delivery of electric vehicles.”

Richardson said he was delighted that the business had partnered with Palatine to support the existing management team in the continued growth of the NRG business. 

“We have been impressed with the Palatine team and their engagement in and understanding of our plans since we first met earlier this year,” he said.

“This is an exciting new chapter for NRG and we are very much looking forward to continuing the successful journey we are on.”

He stressed that customers and employees will benefit from the transaction as the new investment enables the company to further develop its business and continue growing.

“Through both organic and acquisitive growth NRG will further enhance its position as the market leader over the coming years,” he said.

Palatine Private Equity backed a management buyout at TTC Group in 2017, led by current CEO Jim Kirkwood. Since this, the firm has seen revenue growth of more than 36%

Palatine was advised on the NRG deal by a team from Deloitte (Jeremy Thomas and Anil Gupta) and law firm DWF (Jonathan Robinson). Commercial due diligence was provided by OC&C.

NRG’s shareholders were advised by Andy Thomas of Rothschild and by Rebecca Grisewood of law firm Gateley.



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