MBO comes to life at LEEC
Who?
Nottingham mortuary and laboratory product designer and manufacturer LEEC.
Did what?
Has undertaken a £4.4m venture capital-backed management buyout.
What does this mean?
The deal was funded by Octopus Ventures and Lloyds TSB. LEEC, whose head office is in Colwick, services customers in the mortuary sector, including the NHS, local authorities, universities and funeral directors, offering a service which includes consultation, design and manufacture along with ongoing maintenance and servicing. The MBO was led by managing director Paul Venners.
Who advised?
John Bryant and Rob Burden from Cooper Parry Corporate Finance advised the management team on the transaction, as did law firm Browne Jacobson, led by Mark Hughes and Paul McCannah, with Shaun McCabe advising on the banking arrangements. Lloyds was advised by Tom Bird from Shoosmiths. The vendors were advised by David Tilly from Geldards LLP.
Insider comment:
In the year ending 28 February 2009, LEEC turnover increased by 11 per cent to £5.9m through growth in the mortuart contracts area of the business, but at reduced gross profit margins, which were down 3 per cent on 2008. Gross profit was £2.64m.
