Speedy's Middle East 'de-risking' nears completion
Speedy Hire is continuing to wind down its Middle East operations in the wake of “substantial losses”
Speedy Hire has revealed that its Middle East ‘de-risking’ strategy is almost complete.
The UK-headquartered equipment rental company has taken extensive measures to wind down its regional operations in the wake of “substantial losses”.
The Middle East ‘de-risking’ strategy was initiated after Speedy discovered an $8.2m hole in its regional accounts during the final quarter of 2013.
In a statement issued in the lead-up to its full-year trading update, the company stated: “In the Middle East, where the group has incurred substantial losses, Speedy has completed its withdrawal from the general hire business; its offices in Egypt and Qatar have been closed and the Oman business sold. The newly restructured Oil and Gas Services Business broke even in the final month of the fiscal year, and the group is in discussions with a potential purchaser to sell this business.
“Regardless of the outcome of any negotiations, the Middle East business has been significantly de-risked,” the firm added.
Speedy’s full-year trading results will be announced on 12 May 2015. The company’s board has stated that it expects revenue to be “in line with market expectations”.