QTS Group Limited has been acquired by Leeds-based engineering services group Renew Holdings plc in an £80 million deal. This acquisition will add complementary services to Renew’s existing rail offering and increase its market share, footprint and positioning in the rail market. “We are delighted to welcome the management and staff of QTS to the Renew group. This is a very complementary and earnings enhancing acquisition that aligns with our established and proven strategy, strengthening our position in the UK infrastructure market,” said Paul Scott, CEO of Renew. “QTS has grown to become a leading and well respected brand in the Rail sector and we very much look forward to supporting its ambition for continued growth including opportunities via collaboration across our expanded range of services in this sector,” he continued. On behalf of Renew, Numis has placed 12,676,056 new ordinary shares of 10 pence each at a price of 355 pence per share with new and existing investors, raising £45 million and representing approximately 20% of the company’s existing issued share capital. The net will be then used to fund part of the deal, along with a £35 million four year term loan, £20 million revolving capital facility and £10 million overdraft facility provided by Renew’s existing lending bank HSBC. “QTS is delighted to be joining the Renew Group and we very much look forward to the future as part of a larger group. The transaction will provide opportunities to expand our market share and benefit from the synergies with their existing successful brands working in highly regulated sectors,” said Alan McLeish, managing director of QTS. Walker Morris advised Renew on the proposed acquisition of QTS and the placing. The law firm’s team of multidisciplinary specialist lawyers included Debbie Jackson, Richard Naish, Laura Cavell and Sonia Lonsdale (Corporate), Peter Considine and Laura Lister (Banking & Finance), Andrew Rayment and Charlotte Smith (Employment) and Sarah Bruce (Tax). The deal is expected to be completed on the 10th of May 2018, following the completion of the placing.