05.01.2010

Speedy expands in Middle East

Speedy Hire, the UK’s largest equipment rental company, has extended its Middle East agreement with Al Futtaim Carillion (AFC) with a five year strategic services agreement.

The agreement includes the acquisition of some of AFC’s equipment fleet and builds on the memorandum of understanding singed by the two parties in July 2009.

Under the terms of the agreement, Speedy will, in addition to becoming AFC's exclusive provider of light plant and equipment across the Middle East and North Africa, provide a full range of asset management and logistical services based its new IT and business process platforms.

Speedy has also acquired equipment and other assets from AFC for £4.1 million in cash, which, together with existing equipment transferred from the UK and investment in new equipment, takes Speedy's overall investment in the region go £8.5 million.

In addition to supporting a number of long-term AFC projects in the UAE, Speedy will “in due course extend its support to other projects in the region”. The agreement is subject to Speedy finalising the establishment of a local trading entity and obtaining relevant licences, completion is expected later this month.


Speedy’s chief executive Steve Corcoran, said: "We are delighted to announce this further development of our strategic relationship with Carillion. This underlines the long term value of our strategy of deepening our relationships with leading international contractors and industrial clients and highlights Speedy's rapid progress in becoming an international services business"

John McDonough, Carillion's chief executive added::"Building long-term relationships with our key suppliers is important to our ability to deliver increasingly efficient, high-quality services for our customers. We look forward to working with Speedy in the Middle East and to building on the strong relationship we have already developed with Speedy in the UK."