HSS Hire, one of the major players in the U.K. rental industry, is expected to breach its banking covenants in September, according to U.K. press reports. Management of the 250-store rental company is close to appointing a restructuring team to conduct a strategic review of the company’s future, according to the reports.
“HSS is going through a process to negotiate amendments to its banking arrangements in order to progress its growth plans both organically and acquisitively,” said a company spokesman. The spokesman said the company will be able to meet its debt service requirements and is “trading strongly in challenging market conditions.”
HSS was founded as a single location in 1957, the story is told, when the sister of U.K. businessman Bert Taylor couldn’t find a ladder to borrow, causing him to recognize a gap in the market.
HSS recently opened a “supercenter” branch in St. Helens, Merseyside, a larger facility with a wider range of products than a typical rental center. HSS has opened several supercenters in recent months.