Addison Lee owners said to be exploring sale

2nd Jul 2024 16:14

(Sharecast News) - The owners of Addison Lee have reportedly begun exploring a sale of the company they took control of four years ago.

According to Sky News, investment bank Jefferies has been hired by Addison Lee's majority shareholder, Cheyne Capital, to canvass interest in a takeover.

The process is thought to be at a relatively early stage and might not lead to a transaction, according to one insider.

Addison Lee's potential valuation in any transaction is unclear. The company, which transports about 7m people in journeys in the capital each year, was sold to Cheyne Capital's Strategic Value Credit arm and Liam Griffin, son of founder John, in 2020.

That deal came after a tussle for control involving Addison Lee's syndicate of lenders.

The elder Mr Griffin founded the business in 1975, and it became a ubiquitous presence on London's roads. His son said in an interview earlier this year that shifts in post-pandemic working patterns had contributed to a slowdown in revenues in the capital.

Addison Lee competes for business with ride-hailing apps such as Uber as well as the city's traditional black cabs.

A spokesperson for Addison Lee declined to comment to Sky.