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Sentio advises SG Fleet on the acquisition of Motiva Group

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Sentio Partners has advised SG Fleet Group Limited (‘SG Fleet’ / ASX: SGF) on the acquisition of Motiva Group Limited (‘Motiva’), a provider of contract hire, short-term rental and fleet management services, for £12.4 million.

The acquisition follows that of Fleet Hire in August 2016, on which Sentio also advised, and builds further on the profitable platform and critical mass created by combining SG Fleet’s existing UK business and Fleet Hire. The integration of Motiva will see SG Fleet enter the Top 20 segment of the UK market.

Motiva is headquartered in Stoke-on-Trent. The company employs 50 staff and currently has a 4,300-unit fleet under management. 
Contract hire services are provided under the main Motiva brand whilst rental operations are carried out under the M-Way Vehicle Rentals brand. 
Motiva Direct operates the Group’s fleet management services, including maintenance and accident management and roadside assistance.

Key members of Motiva’s highly regarded management team will be retained by SG Fleet, adding further bench strength and knowledge to its UK team

SG Fleet’s Chief Executive Officer, Robbie Blau, said: “Motiva perfectly complements our current footprint in the UK. It is an ideal fit for our growth strategy, adding further scale to our tool-of-trade offering as well as expertise in the specialist light commercial vehicle segment. It also provides us with a broader target customer base for our salary sacrifice products and gives us access to a broader panel of funders and funding structures. Finally, given the strong compatibility with our existing UK business, there are clear opportunities to extract revenue and cost synergies”.

The Sentio team advising SG Fleet Group comprised Dave Irwin and Rory Wade. Financial due diligence was led by Andrew Nelson and David Closs from KPMG’s Manchester office and legal advice was provided by Marcus Biggs from King & Wood, Mallesons in London.