ARTHUR McKay has agreed to be acquired by rival building services and facilities management group Servest in a deal likely to have triggered multi-million pound windfalls for its owners, Paul McKay and Callum Herd.
Servest described the Midlothian-based firm as being a good strategic fit for its existing building services division.
Callum Herd, managing director of Arthur McKay said: “I hand the business over to Servest with the greatest of confidence. I know that being part of such an established and industry renowned organisation our clients will be in safe hands. We look forward to seeing Servest build on Arthur McKay’s success.”
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A Scottish Government spokesman said: "We have committed to protecting the police resource budget in real terms in every year of this Parliament, delivering a boost of £100 million by 2021. We have also provided an additional £55 million of reform funding in 2016-17.
"The Scottish Police Authority and Police Scotland are working on a long-term strategy for a flexible, modern and sustainable police service, building on the recently-published strategic policing priorities."
Mr Herd co-owns the business with chief executive Paul McKay. It was founded in 1958 by the eponymous electrician and is now one of the UK’s leading providers of building support services, with a highly credible track record on the design and safe delivery of complex, multi-million pound projects.
For the year-ending October 31, Arthur McKay made a pre-tax profit of £5.4 million, up 54 per cent on the previous year, as its turnover grew 10 per cent to £111m.
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Arthur McKay has about 940 staff, with 270 working in office and management, 400 in installation and repair, and 264 in other operational staff.
Both companies operate across the UK, with Arthur McKay having offices in Edinburgh, Glasgow, Carlisle, Halifax and London.
Bury St Edmonds-based Servest has a Scottish office in Bathgate and works across a wide array of sectors, from facilities management to pest control and waste management. It employs more than 23,000 staff.
For the year to September 30 it posted revenue of £240m.
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The company has been acquisitive in the last couple of years, buying up three companies, the most recent of which was Accurio Catering in January.
In May, it launched a joint venture with Atalian to provide facilities management on a pan-European basis.
Rob Legge, group chief executive officer UK and Europe at Servest, said: “The acquisition is part of our growth strategy to become one of the top five facilities management service providers in the UK. I’m delighted to be able to offer new and existing customers a wider range of services through the new combined entity.”
Servest said the senior management team will remain in place to facilitate a smooth transition
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