The UK equipment hire market is undergoing a significant transformation as HSS Hire has announced the sale of its entire UK hire store network to private equity firm Endless LLP, while entering a five-year partnership with Speedy Hire to become an online marketplace.

Key Takeaways

• HSS is selling its 39 UK hire branches and 65 builder merchant concessions to Endless LLP.
• The company will transition to a digital-only model, focused on its ProService platform.
• Speedy Hire takes on a key supplier role for ProService and acquires a near 10% stake in the business.
• HSS rebrands as ProService Building Services Marketplace plc.
• The strategic move follows a major loss and is expected to unlock new growth opportunities.

HSS Exits Physical Stores for a Digital-First Future

HSS Hire’s decision signals its official exit from the asset-heavy world of physical hire shops, marking a dramatic shift toward being an online-only service provider. Endless LLP takes ownership of 39 branches and arrangements with 65 builders’ merchants in exchange for £26 million in cash contributions from HSS. Notably, the ProService distribution centres remain with the newly rebranded ProService Building Services Marketplace plc.

This transition is designed to make HSS a capital-light and scalable digital platform. The strategy is poised to drive profitable growth without the operational complexity of managing a widespread branch network.

Speedy Hire’s Strategic Investment and Supply Deal

Speedy Hire steps into the spotlight with a two-fold move: a £35 million investment for a 9.99% stake in ProService and a long-term supply agreement. For at least the next five years, Speedy will replace HSS’s former hire business as the core equipment provider for ProService’s customers.

Under the agreement, Speedy estimates an annual boost of £50–55 million in revenue from supplying equipment to ProService clients. The company will also extend its reach as ProService takes on fulfilment duties for Speedy’s customers. Both firms expect to see improved earnings and operational margins from the deal’s synergies.

Financial Context: Restructuring Amidst Challenging Conditions

Over the last 15 months, HSS has completed multiple disposals, including its Irish and power businesses. The latest accounts show ProService driving the majority of group revenues—out of a group total of around £379 million, ProService contributed nearly £363 million.

Despite these top-line numbers, HSS reported a £130 million pre-tax loss, primarily due to a £113.5 million impairment related to its hire operations. The company’s shares, which had been suspended on AIM, have now resumed trading following the deal’s announcement and annual report release.

Jobs, Integration, and Outlook

Approximately 300 HSS hire business employees are set to transfer to Speedy, with another 100 moving from Speedy to ProService. The leadership of both companies views the transformation as a catalyst for accelerated growth and customer value creation.

The strategic partnership between HSS (as ProService) and Speedy Hire is seen as a bold step toward reshaping the UK’s equipment hire landscape—promoting a tech-enabled, asset-light business model that aligns with changing market demands.

Further Reading

• HSS sells stores and hooks up with Speedy, Construction Index.
• HSS Hire strikes ‘transformational deal’ with Speedy Hire as shares resume trading following £130m loss –
  Construction Wave, Construction Wave.
• HSS offloads hire business to Endless, Speedy takes stake in marketplace, TheBusinessDesk.com.