The managing director of Brighton-based electronics and IT company Amplicon Liveline has stepped down after just 18 months following a management buyout.

Richard Edwards took the job following the shock departure of his predecessor Mike Wood in October 2003 and increased turnover by an impressive £700,000 during his tenure.

But he was not involved in the deal, completed yesterday.

Amplicon said Mr Edwards, 51, believed the company would "progress more effectively under new leadership".

Instead Amplicon founder Jim Hicks who set up the company in 1973, and his wife Heather, have sold their majority holding to a team led by Tony Gorbold for an undisclosed amount.

Mr Gorbold, former operations director at Amplicon, helped Mr Hicks establish the business from scratch.

Since then it has moved from Hove to the Centenary Industrial Estate in Brighton.

Mr Gorbold now becomes managing director and, together with finance director Mark Bushby, 38, and commercial director Gina Citroni, 46, owns the company in its entirety.

Mr Hicks, 61, who was awarded an MBE for services to Sussex business and community, was recently diagnosed with bone marrow cancer and has undergone a successful stem cell transplant.

He said: "The sale of Amplicon will not only allow Heather and I to enjoy a worry-free retirement but will also ensure a sound future for our team of people, with continuity for customers and suppliers."

He added: "As you would expect this is a very friendly arrangement."

He told staff: "Please accept Heather's and my heartfelt thanks for your many years of loyal commitment."

Mr Hicks stepped sideways into the role of chairman four years ago to allow Amplicon to move forward with a more aggressive expansion strategy.

Since then the company has declared increasing turnovers of £4.6 million for 2001/2, £5.1 million in 2002/3, and £5.8 million in 2003/4.

Not only has turnover increased but the company has also enjoyed improving profitability, with 2004/5 expected to continue the trend.

Mr Gorbold, 55, said: "The strength of the management team and the support of our highly motivated sales team will enable us to face our future with both energy and confidence.

"I am certain that with the talent and desire to succeed we will be able to capitalise on this exciting new phase of Amplicon's development."

During his 31 years at Amplicon, Mr Gorbold has managed and directed right across the company from marketing and accounts to logistics and manufacturing as the company has grown from four to 40 staff.

The management buyout process was facilitated by Sussex-based accountants Baker Tilly, with legal support from lawyers Thomas Eggar and Griffith Smith.

@theargus.co.uk