The management buyout in PR firm Drury Communications, which sees Fintan Drury relinquish his post as managing director, involves a figure close to £1 million. Mr Drury, who founded the company, is stepping down after 10 years in the hot seat. However, as part of the deal he will remain actively involved in the company for at least the next two years and will continue to hold a 4 per cent stake.
Mr Drury (40) will also spend more time concentrating on other projects, including another of his ventures, a sports management company which has a separate board and shareholding.
In 1996 Drury Communications posted pre-tax profits of £350,000 and net profits of £213,000. Last year the figure was somewhat different with post-tax profits of £92,000. The company, which says it has always managed its affairs very prudently, also had retained profits of more than £500,000 last year.
It had to take a hit of more than £100,000, due to its involvement in the failed bid to bring the World Equestrian Games to Ireland. It also invested in information systems and moved premises.
This year Drury expects to generate fee income of £2.4 million. According to Mr Drury, the 1998 profit figures should be more than double those of 1996, meaning that the company will be approaching net profits of £500,000. Its not bad for a firm which was formed just 10 years ago. However, the company, ranked in the top five PR operations in Ireland, stresses that it is more than just a PR firm. It provides other services including internal communications and company strategy advice. Around 35 per cent of its income is generated outside PR. Director Billy Murphy, who takes over as managing director will increase his stake from 20 per cent to almost 40 per cent making him the single largest shareholder.
:quality(70)/cloudfront-eu-central-1.images.arcpublishing.com/irishtimes/VR3765MFOBH2NMV2QNICYDF67M.png)