Elaghmore News

Elaghmore Partners acquires Dublin-based Alucraft Group

July 2018

Alucraft Group is Ireland’s leading designer, manufacturer and installer of architectural glazing systems

Elaghmore Partners LLP, the UK-based private equity firm, has acquired Alucraft Group (“Alucraft”).  Founded in 1975, Alucraft is Ireland’s leading designer, manufacturer and installer of architectural glazing systems with offices and manufacturing facilities in Dublin and Tamworth, UK.

During its 40-year history, Alucraft has earned a reputation for delivering first-class quality service to its customers and has provided the facades to many high-profile construction projects. In Dublin, these include the Vertium Building, the new headquarters for Amazon, the headquarters of Lidl Ireland and LinkedIn EMEA as well as No 1 Georges Quay and the National Rehabilitation Hospital. In the UK, Alucraft has worked on major buildings such as the Gateway Building at Salford University, Byron House in Nottingham and Tata Steel in Birmingham.

As well as architectural glazing systems, it stocks, supports and advises on a wide variety of thermo-plastic products, daylight solutions as well as smoke and heat ventilation systems through its wholly owned subsidiary, Williaam Cox.

Alucraft is the fifth and largest acquisition made by Elaghmore so far from its initial private equity fund, Elaghmore I (Fund 1) which closed at the end of 2016, raising £60 million. The fund was oversubscribed, and the investors are a mixture of US and European institutions. The investment strategy of Fund 1 is focused on industrial businesses that present a significant opportunity for growth and value creation.

Elaghmore will provide financial backing to deliver the next phase in Alucraft’s growth strategy, including expanding its UK operations to grow its market share and increase the opportunities for cross-selling between the different subsidiaries of the Group. As well as providing investment, Elaghmore will use its extensive contacts in the construction and housebuilding industry to help expand the customer base of Alucraft.

Headquartered in Dublin, Alucraft Group employs nearly 200 people. It will continue to operate autonomously headed by Managing Director, Jack McHugh.  Alongside the Group’s staff and management team, he will lead the company in the next stage of its development.

Andy Ducker, Founding Partner, Elaghmore, said: “Alucraft is a successful, profitable company which has built a market-leading position in Ireland manufacturing and supplying architectural glazing systems to some of the biggest property developments in the country. It has built its position on the quality of its work and the strength of its relationships with customers. Ireland is an exciting market with high-profile tech companies establishing headquarters there with more opportunities for Alucraft expected as financial services look to build operations in the country post-Brexit. We are excited about working with the talented team at Alucraft to help fulfil their ambitions.”

Commenting on the transaction, Jack McHugh, Managing Director, Alucraft said: “We are very excited about the future of Alucraft and the opportunities we see to expand the business both in Ireland and the UK. We chose to partner with Elaghmore, which has a strong record of supporting the growth of SMEs and providing non-executive expertise to add even greater value. We are looking forward to embarking on the next phase of our growth journey and building the capabilities required to expand our business, while continuing to deliver the high-quality products and services our customers are accustomed to.”

Elaghmore was advised by the law firm, ByrneWallace and IBI Corporate Finance.

Elaghmore Partners named small private equity firm of the year at the ACQ5 Global Awards 2018

July 2018

Elaghmore Partners is delighted to have been named as small private equity firm of the year at the ACQ5 Global Awards 2018.  ACQ5 is the leading corporate news magazine in the private equity sector. The ACQ Annual Award Programs, which has been running since 2006, recognises organisations and individuals that have achieved outstanding commercial success in designated areas of expertise. The industry itself chooses the winners through a survey of ACQ5’s more than 168,000 subscribers which include leading figures in private equity.

Commenting, Andy Ducker, Co-founder and Joint Managing Partner of Elaghmore said: “It is fantastic news for the whole team at Elaghmore that our peers in the industry have recognised us and the work we are doing with the companies we acquire.  We aim to add real value to these businesses and help drive their growth by working closely with management teams to capture new opportunities and expand their businesses. Importantly, we are achieving our aim of delivering above average benchmark returns to our investors. Looking to the future, we are exploring lots of other exciting investment opportunities.”

New Member of the Team – Sarah Hollyhead

June 2018

Elaghmore Partners LLP are pleased to announce the appointment of Sarah Hollyhead as Investment Director.

Sarah joins Elaghmore from Rutland Partners, where she spent two years gaining investment experience in the industrial, consumer and construction sectors. Prior to this, Sarah was an Associate Director at KPMG where she spent 7 years gaining extensive transaction, diligence and restructuring experience.

Andy Ducker, Co-Founder and Joint Managing Partner of Elaghmore commented: “We are delighted that Sarah has joined Elaghmore, her skillset and experience is a great complement to the team, and she shares in our culture and vision of adding value to the management teams we back.”

Contact details for Sarah:
Email: sarah.hollyhead@elaghmore.com
Mobile:  07775 705704
Office: Elaghmore Partners LLP, Ground Floor, 38 Hamilton Terrace, Leamington.  CV32 4LY

 

SM Components Appointed exclusive distributor and partner of McPhee Mixers in Ireland North and South

May 2018

SM Components appointed exclusive distributor and partner of McPhee Mixers in Ireland North and South

Mallusk: SM Components Ltd, Ireland’s leading supplier of bespoke components and services to the transport, industrial, agricultural and marine industries has today announced its appointment as the exclusive country-wide distributor and partner to McPhee Mixers. McPhee Mixers is well- established as one of the leading UK suppliers of bespoke concrete mixers and associated products to the construction and quarrying industry.

The partnership with McPhee Mixers will expand the range of products SM Components can provide its existing customers in Ireland, North and South as well as opening up new opportunities for growth. Based in Mallusk, Co. Antrim, SM Components focus is on offering customers a range of innovative, affordable solutions including aluminium products such as fuel and oil tanks, hydraulics, automatic lubrication, sheeting systems and bulk discharge equipment. SM Components highly skilled and experienced staff offer sales, installation and repair services and it has a fully stocked warehouse containing globally sourced premier products and components to meet its customers’ requirements.

SM Components will work closely with McPhee Mixers to deliver solutions that meet the specific needs of its customers. McPhee Mixers designs, manufactures and supplies its mixers from its headquarters in Blantyre, Glasgow. It offers customers, including some of the largest multinational businesses in the construction and aggregate industry, a unique product range of mixers tailored to their requirements.

The partnership with McPhee Mixers is another step in the growth of SM Components, formed in 2012 by Seamus Hanna and which quickly established itself as Ireland’s leading supplier of bespoke aluminium components for the commercial vehicle industry, through its relationship with UK-based SB Components. The business has continued to expand and now includes distribution agreements with several blue-chip industry brands.

SB Components and McPhee Mixers are both owned by private equity company, Elaghmore Partners. They form part of Elaghmore’s Total Vehicle Solutions Group which also includes Priden Engineering.

Seamus Hanna, Director, SM Components, said: “Our partnership with McPhee Mixers expands the range of products and solutions we can offer our customers across the whole of Ireland. McPhee Mixers is another great addition to our portfolio. We aim to provide cost-effective solutions of the highest quality standards and technology in the marketplace. McPhee Mixers falls firmly into this category and has a long history of success within the construction transport industry and a track record of innovation. We are delighted to be associated with them.”

Commenting on the partnership, Brinsley McFarlane, Managing Director, McPhee Mixers, said: “The success of McPhee Mixers is built on the high-quality of our products and customer service. We have built outstanding levels of customer retention with some relationships stretching more than three decades. SM Components shares this same commitment and approach to its customers which was vital for us when deciding to partner with them. We are excited about the opportunity to grow the presence of McPhee Mixers in Ireland, North and South through this relationship.”

McPhee Mixers Acquisition

May 2018

Elaghmore Partners acquires Glasgow-based McPhee Mixers

Company will become part of Elaghmore’s Total Vehicle Solutions Group

Elaghmore Partners LLP, the UK-focused private equity firm, has acquired McPhee Bros (Blantyre) Limited (“McPhee Mixers”), a leading UK designer and manufacturer of truck- mounted concrete mixer units, known as McPhee Mixers, for an undisclosed multi-million- pound sum. Founded in 1971, McPhee Mixers is well-established as one of the leading UK suppliers of mixers to the construction and quarrying industry.

McPhee Mixers designs, manufactures and supplies its mixers from its headquarters in Blantyre, Glasgow. It offers its customers, including some of the largest multinational businesses in the construction and aggregate industry, a unique product range of mixers tailored to their requirements. McPhee Mixers has long been recognised as an industry innovator, continually introducing new safety features and has patents and registered designs covering its products.

As well as designing and manufacturing the mixers, McPhee Mixers also services and repairs them from a specialist site in Chesterfield, Derbyshire. No other UK concrete mixer manufacturer has more than one location, so it is uniquely placed to support customers across the country. The high-quality of its products and customer service has helped deliver outstanding levels of customer retention with long-standing client relationships, in some cases, stretching more than 30 years.

Elaghmore will provide financial backing to support the growth plans of McPhee Mixers which include expanding the existing sites to help deliver a growing order book, new product development, the addition of sales and marketing capability and geographic expansion to capitalise on the Company’s intellectual property.

McPhee Mixers, which employs 70 people, will continue to operate autonomously but will become part of Elaghmore’s Total Vehicle Solutions (“TVS”) Group. The Group includes other Elaghmore acquisitions, SB Components and Priden Engineering. Each company shares similar attributes, such as high-levels of technical expertise and best-in-class customer service in their respective industries. By being part of the TVS Group, the companies can cross-sell products to the combined customer list, share facilities across the UK to broaden their reach as well as share best practice and technical expertise. The Group also has plans to expand internationally. The TVS Group under the ownership of Elaghmore has annualised revenues of £50 million and operates across four sites in the UK.

Andy Ducker, Founding Partner at Elaghmore, said: “McPhee Mixers is a strong, profitable company with a growing order book, a track record of innovation and long-term relationships with some of the biggest names in the UK construction industry. It is a valuable addition to our Total Vehicle Solutions Group and expands its capability to offer even more products to its industrial client base from a growing number of sites across the UK. We are excited about working with the management team at McPhee Mixers to build on their success including growing its existing sites, developing new products and securing a foothold in other geographies to exploit its intellectual property.”

Commenting on the transaction, Brinsley McFarlane, Managing Director, McPhee Mixers, said: “McPhee Mixers has a long and enviable record of success within the engineering industry, and we have ambitious plans for the future. Working with Elaghmore

will help us deliver these, which is demonstrated by their track record in backing companies like SB Components. It is an exciting day for our skilled and dedicated workforce as well as our customers as we look to build on our success so far as part of the TVS Group.”

McPhee Mixers is the fourth acquisition made by Elaghmore from its initial private equity fund, Elaghmore I (Fund 1) which closed at the end of 2016, raising £60 million. The fund was oversubscribed, and the investors are a mixture of US and European institutions. The investment strategy of Fund 1 is focused on UK-headquartered industrial businesses that present a significant opportunity for growth and value creation.

Led by David Manning, Andy Ducker, David Morley and Greg Koral, Elaghmore Partners has a strong track record over the past decade for investing in and successfully growing businesses, including Chaucer Foods, mainly through operational transformation. Fund 1 was launched to capitalise on the partners’ successful track record and their strong operational expertise.

 

Priden Engineering Limited Acquisition

April 2018

Elaghmore Partners acquires Priden Engineering Limited

Elaghmore Partners LLP, the UK-focused private equity firm, has acquired Priden Engineering Limited (“Priden”), one of the UK’s leading engineering companies, for an undisclosed multi-million-pound sum. Based in Wisbech, Cambridgeshire, Priden delivers bespoke engineering solutions to leading companies in a host of sectors including Pneumatic Vehicles, Commercial Bodies, Truck and Bus, Food Industrial Engineering as well as providing financial services for customers of its truck and trailer division.

Founded in 1988, Priden Engineering provides among other things a complete range of aluminium and stainless-steel products for commercial vehicles, stainless steel systems for the food industry such as individual machines and full production lines and is the chief supplier of blowing equipment to the animal feed sector. The business has four factories situated on more than four acres and a 100-strong workforce. Elaghmore has bought Priden from its management who will remain with the business.

Elaghmore will provide financial backing to grow Priden into a national business in the total vehicle solution market and to develop and expand its food engineering business. Priden Engineering will remain an independent company, however, it will work closely with another Elaghmore business, SB Components, which was acquired in December 2016. Also based in Wisbech, SB Components, has grown into the UK’s leading supplier of bespoke components for commercial vehicles. Since its acquisition, the business has delivered exceptional growth and this year will deliver a record level of sales and profitability.

The combined Priden and SB Components business will employ 250 people and have sales of more than £40 million per annum.

Priden is the third acquisition made by Elaghmore from its initial private equity fund, Elaghmore I (Fund 1) which closed at the end of 2016, raising £60 million. The fund was oversubscribed, and the investors are a mixture of US and European institutions. The investment strategy of Fund 1 is focused on UK-headquartered industrial businesses that present a significant opportunity for growth and value creation.

Led by David Manning, Andy Ducker, David Morley and Greg Koral, Elaghmore Partners has a strong track record over the past decade for investing in and successfully growing businesses, including Chaucer Foods, mainly through operational transformation. Fund 1 was launched to capitalise on the partners’ successful track record and their strong operational expertise. The first acquisition was SB Components, and the second, was Kesslers, one of Europe’s leading designers and manufacturers of retail displays and merchandising for world-famous brands and leading UK high street retailers.

Andy Ducker, Founding Partner at Elaghmore, said: “Priden Engineering is a business with a strong history, good reputation with customers and excellent prospects for future growth. Our strategy is to build Priden Engineering into a leading national business in the total vehicle solution market and to develop and expand its food engineering business, using our experience from Chaucer Foods. At the same time, we want to help Priden take advantage of opportunities to collaborate and work with the team at SB Components. We are looking forward to working closely with Priden’s management to help realise these goals.”

Commenting on the transaction, Kevin Walker, Director, Priden, said: “This is an exciting opportunity for our staff and customers. With Elaghmore, Priden now has a strong financial backer, with a track record of growing businesses, who can help us build on our successful work and take us to the next level of our development. By working closely with another thriving local company, SB Components, it means we can achieve our ambition of establishing Priden as a national business and open up new opportunities to bring our engineering expertise to new sectors.”

James Warren, Managing Director, SB Components, added: “Since our acquisition by Elaghmore in December 2016, the business has gone from strength to strength. Our focus is on delivering great products and customer service, and we look forward to working closely with the team at Priden to meet the needs of existing customers and develop new market areas together.”

 

Elaghmore Partners acquires Kesslers International Limited through Fund

September 2017

Elaghmore Partners LLP, the UK-focused private equity firm, has acquired Kesslers International (“Kesslers”), one of Europe’s leading designers and manufacturers of retail displays and merchandising for world famous brands and retailers.  Elaghmore has bought the business from Enact, the dedicated SME Fund managed by Endless LLP.  Enact invested in Kesslers in February 2016, providing new funding to support the turnaround of the business.

Founded in 1893, Kesslers creates point-of-purchase displays and merchandising solutions for major clients including world famous brands and leading UK high street retailers.  Located in Stratford, London, the business operates from a state-of-the-art design, engineering and manufacturing facility with a highly experienced team of over 200 employees.

This is the second acquisition made by Elaghmore from its initial private equity fund, Elaghmore I (Fund 1) which closed at the end of 2016, raising £60 million. The fund was oversubscribed and the investors are a mixture of US and European institutions. The investment strategy of Fund 1 is focused on UK-headquartered industrial businesses that present a significant opportunity for growth and value creation.

Led by David Manning, Andy Ducker, David Morley and Greg Koral, Elaghmore Partners has a strong track record over the past decade for investing in and successfully growing businesses, including Chaucer Foods, largely through operational transformation. Fund 1 was launched to capitalise on the partners’ successful track record and their strong operational expertise in the UK mid-market.  The first acquisition was SB Components, a leading supplier of bespoke components and adaptations for commercial vehicles.

David Manning, Founding Partner at Elaghmore, said: “Kesslers is an exciting business with a long history and strong client list. We are excited to be investing in helping the management team deliver the next phase of its growth plans which include expansion in Europe and breaking into new market sectors. We look forward to working with the management to achieve their ambitious objectives.”

Commenting on the transaction, Chris Cormack, Investment Director at Enact, said: “Kesslers is a well-established business with a strong market position and brand. We are pleased to have been part of the company’s journey and wish the management team, along with their new owners, Elaghmore, all the best for the future.”

 

Elaghmore makes first acquisition through Fund 1

December 2016

Elaghmore Partners has acquired SB Components, the leading supplier of bespoke components for commercial vehicles, completing the first investment made under its new investment fund, Elaghmore 1.

Based in Wisbech, Cambridgeshire, SB Components employs 130 people and has annual sales of £17 million. The company has carved out a unique market position supplying specialist components and customising the commercial vehicle fleets of major customers, including many of the leading retailers.

The company is poised for expansion with the opening of a new manufacturing facility alongside its existing operations. The Elaghmore partners will work closely with the SB management team to support this next phase of the company’s growth.

Commenting on the deal Andrew Ducker, a founding partner of Elaghmore, said: “Over the last 12 years we’ve established a clear and successful strategy of investing in and supporting the development of companies with strong growth potential and a point of real difference in their market place. SB fits that description exactly and we are excited to be working alongside the management team to help them achieve their growth ambitions.”

Elaghmore 1 was recently successfully closed at £60 million, attracting investment from major institutions in the US and Europe. Having completed the SB Components acquisition, the Elaghmore partners are now exploring other investment opportunities under the fund.

Elaghmore Partners’ first private equity fund closes at £60 million and makes its first investment

December 2016

Elaghmore Partners’ first private equity fund closes at £60 million and makes its first investment

Elaghmore Partners, today announces it has successfully closed its initial fund, Elaghmore I (Fund 1) at £60 million.

Led by David Manning, Andy Ducker and Greg Koral, Elaghmore Partners has developed a strong track record over the past 10 years for investing in and successfully growing businesses, largely through operational transformation. Fund 1 was launched to capitalise on the partners’ successful track record and utilise their strong operational expertise in the UK mid-market, including turnaround situations.

The fund held a first and final close and is now fully operational. The fund was oversubscribed and the investors are a mixture of US and European institutions. The investment strategy of Fund 1 is focused on UK-headquartered industrial businesses that present a significant opportunity for growth and value creation. Lending their considerable operational experience, the partners will participate in every phase of the investment, including turnaround of the business, if necessary, its growth and development, and ultimately ensuring it is well placed to deliver returns for investors.

Elaghmore Partners was advised by London-based Rede Partners, an independent fund raising and secondary adviser to the private equity industry.

SB Components acquisition and Chaucer Food Group exit

Elaghmore Partners is also pleased to announce the completion of its first acquisition through Fund 1; SB Components, a leading supplier of bespoke components and adaptations for commercial vehicles. Based in Wisbech the Company employs 130 people and has sales of £17m. The Company has experienced strong growth over the past few years and is now poised for further expansion with the opening of a new manufacturing facility alongside it’s existing operations. In line with Fund 1’s strategy, the partners look forward to working with the management team to further develop and grow the business.

The acquisition of SB Components follows on from the recent exit of Chaucer Food Group, a specialist food ingredients business in which David, Andy and Greg led the Executive Team and were major shareholders. The sale to Japanese manufacturer of freeze-dried food, Nagatanien, represents an outstanding investment return for all stakeholders. The transaction brings together two well- established, successful businesses that share the same corporate philosophies and aligned strategies, and will serve as an exciting growth platform for both.

Andy Ducker, Elaghmore Partners, said: “We launched our first fund as a result of considerable institutional interest and were pleased to exceed our expectations to be able to close the fund at £60 million, including a significant financial commitment from ourselves as partners.

“We have a clear and defined strategy of aiming to grow and support UK-based industrial businesses and our recent acquisition of SB Components is testament to this. Our extensive experience enables us to not only look at turnaround situations, but also to support management teams in delivering growth strategies for businesses, both on a domestic level and internationally.

“Having exited Chaucer Food Group, the Elaghmore team will now focus on its investment in SB Components and exploring new opportunities for the Fund.”

 

Elaghmore completes sale of Chaucer Foods

November 2016

Elaghmore, the private investment partnership, has completed the sale of Chaucer Foods, a leading expert in freeze dried fruits, after transforming the operations of the group and supporting it in achieving outstanding organic growth.

Chaucer has been acquired by the Japanese manufacturer of freeze-dried foods, Nagatanien, in a deal which represents an outstanding investment return for stakeholders.

Elaghmore invested in Chaucer Foods in 2011 with partners David Manning, Andrew Ducker and Greg Koral acting as major shareholders and leading the executive team that oversaw the operational transformation of the business, with top line revenues doubling in four years.

Several members of Elaghmore’s team of industrial specialists were also involved in supporting the turnaround of the business.

Commenting on the deal, David Manning, said: “This transaction brings together two well-established and successful businesses that share a common corporate philosophy and strategies which are closely aligned. Together they have an excellent platform for further growth and success.”