Defence logistics firm performs MBO
Defence firm Product Support Ltd (PSL) has performed a £16m management buy-out (MBO).
In order to complete the deal, the company received the backing from venture capital managers NVM which has taken a majority stake in the business through its investment of £7m.
PSL provides warehousing and logistic services to the defence industry and its clients include the Ministry of Defence (MoD), BAE Systems and Honeywell.
The MBO was led by PSL’s chief executive Andrew Sheppard who says there is increasing demand for outsourced logistics in the defence sector.
He said: “Demand for outsourced logistics in the defence sector is growing as the armed forces re-structure, streamline and outsource support services.
“PSL has been working with the sector for over 60 years, offering unparalleled knowledge and is well placed to continue the company’s development.”
As a result of the deal, Peter Ashton has become the new chairman of the company.
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