Private equity firm Doughty Hanson has agreed to buy Asco Group, the fast-growing oil and gas logistics business, for 250 million pounds in cash from rival Phoenix Equity Partners, the Financial Times reported on Sunday.

Doughty Hanson will buy a large majority stake in Asco and the company's existing management will, under chief executive Billy Allan, reinvest in the business, the FT said, citing people close to the situation.

It performed strongly through the downturn and we look forward to working with its experienced management to support its continued growth, Doughty Hanson's principal, John Gemmell, is quoted as saying of Asco, which provides logistics services for the oil and gas sector.

($1 = 0.6458 British pounds)

(Reporting by Michelle Martin; Editing by Matt Driskill)