DAVID Henley Systems has been sold to CFS Group in a deal worth more than £7 million, which could spark development of a range of new services for fleets. Under the deal, CFS will acquire 100% of the share capital of David Henley Systems and pay an initial £4 million consideration in cash and CFS shares, which could rise to £7.5 million depending on future results.

The sale of the firm, which produces products including Topcalc, the running costs guide and Fleetware, the contract hire management system, is expected to bring expansion for Hampshire-based David Henley Systems, along with increased investment.

As the deal was announced, CFS revealed half-year pre-tax profits of £122,000 for the year to the end of June, down from £262,000 for the equivalent period the previous year, on turnover up from £6.09 million to £6.86 million. David Henley Systems has already reported profits of £178,000 on turnover of £2.6 million for the last financial year.

David Henley will resign as chairman, but remain as a consultant for at least 18 months. All 62 staff are expected to remain in their current roles. Eric Cross will continue as chief executive of Henley Systems, reporting to Neil Candeland, chief executive officer of CFS (Europe).