SamCorp met Chris Ormrod originally as an MBI candidate and identified under performing Maynard Scotts as a target company.
SamCorp advised Chris initially in securing a minority interest alongside his appointment as Sales Director, the deal incorporating an option to buy-out the majority shareholder after one year subject to achieving a profit target. The £6.3 million MBO was completed little more than a year after Chris’ appointment.
Chris, over the year following his appointment recruited an Operations Director and Finance Director and met the performance target agreed. He then reverted to SamCorp to work with him and the team on a full MBO, SamCorp advising in agreeing the terms of the transaction and introducing the deal to a range of funders. Proposals were received from a number of private equity houses and debt providers, the competitive situation resulting in acceptance of the offers from Matrix Private Equity Partners, who invested £2.1m, and GE Commercial Finance, who provided £2.9m senior debt and £1.3m debtor finance at completion. The GE debtor finance facility also provided headroom for working capital.
A little over two years later the company was sold to trade buyer, Greencore Group, with Matrix realising 2.5 times their original investment.