Presteigne looks to expand after management buyout

The Avesco Group sold the equipment rental firm and its assets to long-serving chief executive Mike Ransome on 30 September following a six-month negotiation.

Having secured backing from venture capitalist fi rm NVM Private Equity, Ransome now has business expansion and market consolidation in his sights as part of a four-year plan.

Ransome told Broadcast: “We won’t be going out and buying an OB company; they are our customers. But we might look at different revenue streams within the rental market and identify areas where we are not as large as we would like to be. There are a number of companies we could look at.”

Drama and commercials production are serious targets, he added, with orders to be placed for 4K cameras, lenses and peripherals in the coming months, and reinforcements likely to be added to Presteigne’s sales department.

“Anyone can go out and buy 4K cameras,” said Ransome.

“But there are a lot of accessories required for these types of shoot. We’re also looking for expertise to come on board that can be the link between the customer, engineering and our hire team.”

Presteigne employs 34 people in London and Manchester.

Despite losing £1.8m in its financial year to September 2015, it is expected to make a small profit this year.

Presteigne has provided kit for TFI Friday, The Boat Race and Formula 1.

Its RF equipment was also used during the Rio Olympics. Avesco is understood to have received several offers for Presteigne prior to agreeing the management buyout.

Net proceeds from the sale will be used to reduce Avesco’s debt.