Supply Plus Ltd designs, manufactures, supplies and distributes safety and fuel delivery equipment (namely AS Fire & Safety, Bayley and Collins Youldon). Their products are used by fire and rescue, police military services and OEM partners with the UK accounting for 60% of sales and the remaining being sold in more than 40 countries.
The business attracted interest from both the UK and overseas. However, it was clear from the start of discussions with Lagercrantz that the two businesses shared the same strategic and cultural vision for the future development of the business.
Lagercrantz is a tech group that offers world-leading, value-creating technology, using either propriety products or products from leading suppliers. The group consists of some 70 companies each with a focus on specific sub-markets. Lagercrantz Group is active in 9 countries in Northern Europe as well as China, India and the USA.
Derek Gotts will continue in his role as Managing Director of Supply Plus and will retain 15% of the shares. On the majority acquisition, Derek Gotts commented “we were delighted to work with PEMCF who found a buyer, unknown to us, in the Lagercrantz Group that we believe will truly have the long-term interests of the business and our people here at the centre of their focus. We think that the structure of the deal provides long term certainty and continuity for Supply Plus over the coming years with the current management team all continuing in their roles.
PEMCF supported us at all stages of the process through to a successful conclusion since their appointment delivering guidance, negotiation and opinion when needed.”
CEO of Lagercrantz UK Ltd Russell Stuart says “Supply Plus is a market leader known for its high-quality products trusted by fire and rescue services worldwide and other demanding end customers. It is a great addition to Lagercrantz’ International Division and we are very much looking forward to working together with Derek Gotts and his experienced team to continue the strong development of the company.”
PEM Corporate Finance were appointed by the shareholders to provide corporate finance advice. Philip Olagunju and James Lewin acted as lead advisors throughout the process, advising on valuation, deal structuring, process management, and negotiations with several interested trade and private equity acquirers. Michael Godfrey from PEM provided business tax advice.
Philip Olagunju, Head of PEM Corporate Finance added, “Supply Plus has grown to become very well-known for developing market-leading products in its core areas. Lagercrantz is the ideal partner for the business, and we look forward to following the next chapter in the business’ evolution. We congratulate the management team, who were a pleasure to advise during this process, and wish all parties the very best for the future.”
Legal advice to the vendors was provided Daisy Divoká from Marriott Harrison.
