AKT management buys independence backed by Swedish engineer Tyrens
The directors of engineer Adams Kara Taylor have agreed a £3.75m management buy out from White Young Green, just five years after being bought by the firm.
A deal to make the high-spec office specialist was concluded at midnight last night which will make 117-strong AKT an independent firm.
However the deal was backed by Swedish engineering group Tyréns, which has 1,000 employees in 20 offices in its home country. A statement from AKT said Tyrens “will work with AKT to develop globally,” but that AKT will remain independent of it.
AKT, which is working on high profile projects including Masdar City, Park House on Oxford Street, and the Sheikh Zayed National Museum in Abu Dhabi, was bought by White Young Green in 2006 for £10.5m but was never fully integrated into the business.
The deal will see AKT’s original directors, Robin Adams, Hanif Kara, and Albert Williamson-Taylor will be joined by Paul Scott and Gerry O’Brien as equity directors.
The move comes as many other firms are looking to consolidate to compete in the tough global market. Hanif Kara said: “This atypical but willful step is designed to reverse the trend. We are of course delighted to be making this move to regain our independence and we look forward to continue facing the challenges, both commercial and intellectual, that we enjoy engaging with. Our global reach will be strengthened and developed with Tyrens.”
In the year ended 30 June 2010, AKT generated revenues of £12.3m, with profit before tax of £0.6m. AKT’s gross assets as at 30 June 2010 were approximately £2.1m. The proceeds of sale will be applied in accordance with the terms of the Company’s finance arrangements with its lenders.
Paul Hamer, chief executive of White Young Green Group, said: “AKT has been a valued member of the WYG Group over the past four years, particularly in contributing to delivering technical excellence to global clients. WYG and AKT2 will continue to collaborate on projects of mutual interest in key global regions and I wish the management of AKT every success in taking the business forward.”
This comes after WYG announced a 27 per cent drop in revenue for the last financial year.