HAMPSHIRE company Raytheon Recreational Marine Products has been bought by its management team, led by Rick Kane, in a deal worth £73.4 million.

Raytheon Recreational Marine is the leading global supplier of electronic on-board systems for recreational boats and the management team was advised by KPMG Corporate Finance in Southampton.

The new company - which will be known as Raymarine - will have its headquarters in Portsmouth with US operation centres in New Hampshire and Florida.

Mercury Private Equity and the Royal Bank of Scotland backed the deal with legal advice provided by Bond Pearce.

Mr Kane, managing director of the new company, said: "Raymarine is committed to continue building on the achievements of recent years through strategic capital investments and the development of leading edge marine electronics products.''

The sale includes Recreational Marine's headquarters and manufacturing operations in Portsmouth, and its sales and engineering operations in Nashua, New Hampshire, and Fort Lauderdale, Florida.

There are approximately 575 employees at these sites. The buyout group say that there are no plans of downsizing the workforce.

"Buying the company from Raytheon provides the new leadership with the opportunity to focus on strengthening our premier market position. I could not ask for a more talented and loyal team of employees to ensure the continued success of Raymarine."

"Our customers remain the company's number one priority. We have a strong market position, a diverse product range and will remain focused on delivering innovative products and technology to boaters around the world. We look forward to growing the business internationally with the full support of Mercury in order to maintain Raymarine's world-leading position.

He added: "KPMG's support throughout the process has enabled us to achieve our goal after three months of intense negotiations. We are looking forward to working with the firm in building the business from strength to strength."

Anthony Vickery and Paul Westbrook of KPMG Corporate Finance were lead advisers to the management team.

The company had a turnover last year of £141 million and employs 575 people.

Mr Vickery, KPMG Corporate Finance partner, said: "The Raytheon Recreational Marine buy-out combines one of the strongest management teams in the industry with a high-quality market leading business and I expect to see significant developments in the business over the next few years. I wish both the management and their funders every success.

"We are seeing more and more strong management buy-out opportunities arising throughout Europe and have been heavily involved with a number coming out from North American ownership."

Nick Turner, director at Mercury Private Equity, said: "Raymarine is an attractive investment opportunity in a global market estimated to be worth £612 million. The company is unique in that it provides a 'one stop shop' solution for its customers. We look forward to working with Raymarine's strong management team through the next phases of the company's development."