Semple share swap

The battle for survival at Semple, the Scottish-based M&E contractor, took a step forward this week when major shareholders David Sutherland and George Fraser transferred their 80% stake in the group to chief executive Gordon McKie and finance director Eamon Hegerty.

McKie said: "We are indebted to David and George for supporting the business at an extremely difficult time. Recovery is on-going. This move provides the senior management team with control of the business and is in line with our restructuring programme."

McKie was brought in last autumn by the Bank of Scotland. Before his arrival the £35m-a-year company had lost more than £25m in the three previous years. McKie has gained a reputation over the past 10 years as a turn-around specialist.

Sutherland and Fraser are both directors of Inverness-based Tulloch Construction and have returned to their daytime jobs.

The Bank of Scotland has cut its 20% stake in Semple to 10% by transferring half its shares to Scarborough Property Group.

Semple has also announced that ACI, its structured cabling division, has been sold to a management team headed by ACI managing director Alan Davidson.

As ACI was making a loss, the sale represents an earnings-enhancing move by Semple. Other divisions are likely to follow the same route.

ACI has an annual turnover of £3.5m and employs 50 people in Glasgow, Manchester and Slough. Davidson previously owned the business before selling it to Semple in 1999.