Interior Services Group has bought out the 10% stake of its construction management subsidiary Exterior that had been owned by the division’s five founder directors. ISG has acquired the shares for £1.15m.
Three Exterior directors will stay on. They are Steve Trotter, Matthew Giles and John Ness, who have exchanged their Exterior shares for shares in ISG, which is listed on the alternative investment market. The other two founders, Ian Blake and Mark Rushworth, have sold up and left.
The move will see Exterior, which was set up by the five former Schal employees less than three years ago, absorbed into Interior, ISG’s fit-out arm, and given a new management structure.
ISG’s chairman and chief executive David King said that following client feedback he was putting in place a “more straightforward and less confusing management structure” at Exterior.
Trotter will become managing director, with Ness as operations director, Brian Proudfoot as commercial director and Giles as sales and marketing director. Giles and Trotter will also join the Interior board.
King said the integration of Exterior would ensure it could continue to participate in the development of future products, including corporate private finance initiative-type deals.
ISG said that, in the year to 30 June, Exterior made of a pre-tax profit of about £200 000.