Press releases – Decemeber 2009

Leeds | December 2009 | The Royal Bank of Scotland (RBS) has supported the management team at Lewis Tankers Limited in its recent Management Buy Out (MBO) from Simon Storage Limited. The deal has seen Stewart MacDonald, David Brown and Andrew Nicholson take 100% of the shares in Lewis Tankers Limited.

Lewis Tankers was established in the 1970s by the Lewis family and was acquired by Simon Storage in 2001. They operate a fleet of over 70 tankers from their main depot at Hensall, near Goole in Yorkshire, and their out-based bases at Grangemouth, North Shields, Teesside, Cadishead, Stalybridge, Ellesmere Port and Kingsbury. They have built an excellent reputation in the industry with a string of safety awards and an exemplary operating performance record. Lewis Tankers serves a number of leading customers in the oil and chemical business sector.

Stewart turned to RBS to discuss the finance needed to support the MBO. Mark Heyes and Jonathan Plaxton led the discussions on behalf of RBS Invoice Finance and Lombard respectively. Andy Storr provided support in respect of banking services. A package was agreed which included funding from RBS Invoice Finance and Lombard against the assets of the company.

Stewart MacDonald, Managing Director, Lewis Tankers said:

"I am delighted to have been given the opportunity to lead the MBO of Lewis Tankers from Simon Storage. My colleagues and I are determined to take the Company forward and are excited by the challenge ahead. We are also very pleased we have been able to sustain our strong working relationship with Simon Storage."

Mark Heyes, Associate Director, RBS Invoice Finance, added:

"We have been working with Stewart and his advisors for over a year and are delighted that this deal has been concluded to the satisfaction of all parties involved. This is a great opportunity for Stewart and the team and we are happy to support them in taking on Lewis Tankers which is an established and highly-respected operator in this sector. We wish them all the best as they drive the business to the next level."

Lead advisors to the MBO team were Oliver Hoffman and Rob Burton of Mazars LLP, with Bob Harrop at Lupton Fawcett Solicitors providing legal advice to the MBO team and Christian Hunt, Clarion Solicitors advising the Bank.

Rob Burton, Corporate Finance Senior Manager, Mazars LLP, added:

"We have worked well with Stewart, David and Andrew and are delighted to have delivered a successful outcome. It is a pleasure to be involved with a high quality team with a proven track record in their sector and we look forward to seeing Lewis Tankers go from strength to strength."

Bob Harrap, Head of Corporate Finance, Lupton Fawcett LLP, added:

"Stewart, David and Andrew worked together for several years at Tankfreight, which was then the largest road tanker operator in the UK. They make a formidable team who know precisely what to do to succeed in this business."