The management team of a leading Dublin communications company has bought the firm from its founder, and plans an expansion into central Europe and Britain. Drury Communications said last night its founder, Mr Fintan Drury, would step down as managing director to be replaced by Mr Billy Murphy.
The management buy-out, which was carried out with advice from BDO Simpson Xavier corporate finance, will see most of Mr Drury's 55 per cent stake in the company shared among seven management colleagues. While he will retain a small share in the firm he founded 10 years ago, the company will now have 14 shareholders, none of whom will have a controlling stake, Mr Drury said.
He would not reveal how much the buy-out cost, saying only that the company would have fee income in Ireland this year. Drury Communications employs 40 people in Dublin and Belfast.
The company also announced a three-year development plan which will see an expansion in central Europe and in Britain. In April last year, Drury's opened an office in Budapest. The firm said yesterday one of its directors, Mr Padraig McKeon, will move to the Hungarian capital to become managing director.
"There were two key reasons for locating in central Europe, first the advent of EU membership, and secondly, the increasing entrepreneurial base and the resultant development of a market in financial public relations," said Drury's chairman, Mr David Kennedy. "The business will be generating £1 million in fees by 2001."
Mr Murphy said the company would be concentrating on the Hungarian, Czech and Polish markets.
The firm also plans to open an office in Britain, and is already seeking a base "outside London", he added.
"The board has a particular strategy in mind in respect of this, which involves focusing on a restricted aspect of our business initially," Mr Kennedy said. "We anticipate that this will be an important part of our business in the future."
The company also announced that the outgoing chief executive of IDA Ireland, Mr Kieran McGowan, would join its board from January 1st.
