Hill & Smith originally bought Ash & Lacy back in 2000 for £70m.

The management buyout team includes chartered engineer Jonathan Evans who joins the company as Chief Executive. Ian French, a former director of Hill and Smith, will be Commercial Director.

Ray Harriman, who continues as Managing Director, said: “This change in ownership presents a tremendous opportunity for us. It will enable us to continue to build on our hard-earned reputation and move forward with even more determination to increase our presence in a variety of new and exciting markets.

“Customers will progressively observe and benefit from the extremely positive effects this acquisition will have on the entire business. We look forward to communicating these developments.”

Hill & Smith chief executive Derek Muir said: “The Disposal completes our strategic repositioning of Hill & Smith away from building and construction activities and enables the Group to focus upon the core higher added value businesses involved in infrastructure products and galvanizing services”.

Ash & Lacy has been in business for more than 140 years and has a turnover of £30m.