Erisbeg has acquired a majority stake in traffic management solutions firm CHM Group, pending regulatory clearance. Terms of the deal were not disclosed.

Founded by Barry Ennis and Niall Hughes in 2001, CHM has become a leading company in temporary traffic management and motorway maintenance solutions over the past 24 years, and now has operations around the company.

Ennis and Hughes stepped back from operational involvement in the business last January, with Bryan Hosier being appointed managing director.

Under Hosier's leadership, the company has expanded its service offering and established a market presence in the UK.

CHM now offers traffic management solutions, VRS Installation and repair, white lining, motorway maintenance, and cycle lane delineators as well as civil work for local authorities and private contractors.

Hosier and the management team will stay with CHM following the transaction to execute the firm's growth plan, and Ennis and Hughes will remain on the CHM board.

With the backing of Erisbeg, CHM expects to "continue to grow strongly and to invest in growth initiatives across the UK and Ireland."

It is Erisbeg's 29th investment since 2017.

"We are thrilled to have Erisbeg come on board to support the company’s expansion plan," said Ennis and Hughes.

"We have noted how closely Erisbeg work with management to support growth and we feel their expertise and financial support will allow the company to accelerate growth plans in a number of ways to create new opportunities for employees and clients alike."

Operating company Complete Highway Care Ltd reported a profit of €1m for 2023, up from €943,900 in 2022, with turnover growing 36% year-on-year from €13.4m to €18.2m.

Andrew Murphy, who led the transaction for Erisbeg alongside Ronan Daly and Donal Gallen, said: “We have been assessing this sector for the last 18 months and identified CHM as the leading player in the market.

"Since we met Barry, Niall and the team in CHM we’ve been hugely impressed with what they have built and the potential for expansion with our support. CHM plays a crucial role in keeping road users safe and supporting Ireland’s infrastructure development goals.

"We have great admiration for what Barry and Niall have built and we are delighted that we can continue to rely on their expertise as board members for the next stage of the company’s growth.

"We have great confidence in the management team’s ability to realise ambitious growth potential and are excited to start to work together.”