Plant hire company Andrews Sykes is poised to move from the Full List to Aim in November, so that chairman JG Murray can continue with his share buy-back programme. Elliott Davis reports.

Chief executive Robert Stevens explains that 'we've reached the stage where the chairman owns so much of the company that we really have to move across'. Murray began buying into the stock more than a year ago and currently holds 63.5 per cent of the company. This stake, according to Stevens, is likely to top 70 per cent in the near future.

Hugh Davis from the UK Listing Authority said that there is no specific level at which a company would be asked to move across. However, he did express that there may be some concern if a company's free float – the number of shares not controlled by its directors – fell below 25 per cent.

The move to Aim is also expected to result in a simplification in reporting requirements, thus reducing costs for the group.

At the interim stage, Sykes (ASY), a provider of pumping, air conditioning and ventilation equipment, appeared to be in good shape with pre-tax profits up 178 per cent at £6 million (mostly on account of a £3.2 million goodwill write-off made in the comparable period last year). Sales were slightly easier at £42.2 million (£43.9 million).

Despite the clearing of goodwill payments, Stevens remains cautious about the company's immediate future. 'The summer came to a premature end, so the second half is likely to be difficult', he concluded.

Shares in Sykes slipped a penny to 83p on today's news, valuing the company at £64.3 million.