Addison Lee to bring former CEO Liam Griffin back into top job
The new owners of minicab firm Addison Lee are set to bring former chief executive Liam Griffin back into the top job as a part of a range of measures to try and save the struggling company.
Addison Lee was rescued by a group of eight banks last month, who vowed to inject £45m investment into the company and refinance £100m of the company’s £250m of debt.
Read more: Addison Lee secures rescue deal as banks take over
US private equity firm Carlyle had been looking to sell the company after mounting debts meant it was on the verge of losing control of the company to its lenders.
City PM understands Griffin – who is the son of the company’s founder John Griffin and was previously chief executive for a 10-year stint – will also replace Andy Boland as a part of a boardroom shakeup.
Boland had been in the job since 2015, when he was installed as chief executive at the expense of Griffin.
Griffin, who is also a former professional auto racing driver, remained on the board after his removal from the top job.
However, it is understood that Boland will leave the business altogether.
A City source familiar with the move told City PM that the new owners wanted a change that wasn’t “a million miles away from current strategy”.
They added: “[Griffin] has been supportive of the Group’s direction (from his Board seat) and has agreed to step back into an Executive role for the next stage of Addison Lee’s journey.”
The source also said that Addison Lee had agreed to sell its US operation to RMA Limo, with the deal set to be closed on Tuesday.
The company has struggled to cope with the entrance of Uber and other ride-sharing apps into the marketplace, despite being the country’s leader in serving business customers.
Read more: Addison Lee’s lenders plan to take control to stave off collapse
Addison Lee still counts 80 per cent of the FTSE 100 as clients and posted £390m of revenue in 2018.
Despite this, it still posted a £5m operating loss the same year.