Vp plc, the parent company of well known brands such as Brandon Hire Station, ESS Safeforce and MEP Hire, is seeking a buyer "who will respect Vp's unique heritage, family culture and committed employee base, support its environmental and sustainability goals and commitments."
In official terms, Ackers P Investment Company Limited - a company connected to Vp Chairman Jeremy Pilkington - has indicated to the Board its desire to explore opportunities to dispose of its entire shareholding in Vp. The latter amounts to 50.26% of the issued share capital.
The reason for the sale is nothing more than Jeremy Pilkington's desire to step down - which is fair enough since he is now 71 years old. Speaking of the sale, he said: "Vp's controlling shareholder, a company connected to me, has decided that it wishes to diversify its investments. This does not in any way reflect a dissatisfaction with the company or its direction. Indeed, they are strongly supportive of management and highly satisfied by the continuing strong performance of the group. But they do have to take into account their current and future obligations to my family as a whole."
While Vp Chief Executive Neil Stothard added: "Following the indication from the Controlling Shareholder that they would like to explore opportunities to dispose of their shares, the Board thoroughly considered all strategic options in partnership with our advisers. In considering these options the Board, including Jeremy, has had regard to the interests of all the Company's stakeholders. The Board has unanimously concluded that it would be appropriate to investigate the sale of the Company and is therefore launching a formal sale process."
This is significant news, although Vp brand will surely find a buyer soon enough. The share price has been taking a bit of a ride recently, however the current market capitalisation is £377.83mn.
See www.vpplc.com for further details.