Five months after the buyout, managing director talks about turning former Gleeson arm鈥檚 拢16.6m loss into a 拢4.8m profit by focusing on smaller education, health and residential projects
In March this year Gleeson revealed that its building division was going to make a 拢16.6m loss and decided that it was time to get out of the business altogether. One month ago, Martin Smout, who was managing director of the division, completed a management buyout and in his first interview since the deal he tells 星空传媒 how he plans to rebuild the firm, achieve growth and then float the company.
For a man who has just bought a loss-making company, Smout appears relaxed and upbeat.
And he has reason to be positive. Gleeson has retained a 20% stake, which enables the buyout team to delay paying the full price for the division for five years 鈥� 鈥渙nce we鈥檝e built the business up鈥�, says Smout. They do not have to pay anything at all for the business until the end of the third year.
The new company鈥檚 three directors 鈥� Smout, commercial director Peter Stone, and finance director Michael Lethaby 鈥� own the remaining 80% of