Insider's April Deal of the Month
The future for Connect Midlands may not be as certain as it would wish but it continues to have a hand in some noteworthy deals in the region, says Sam Metcalf, assistant editor at Midlands Business Insider.
"Connect Midlands might be in a strange kind of limbo at the moment because of cuts to its funding, but it remains a vital tool for funding, initiating and processing deals in the Midlands," said Metcalf.
This time around Connect Midlands was involved with Ilkeston-based Custom Group, which has undergone a management buy-in (MBI). Through the deal, which was funded by NatWest and Connect Midlands, Mark Johnson and Russell Dallison will become shareholders of the curtain manufacturer.
The buy-in was structured and advised by accountancy and business advisory service PKF.
As a result of the deal, senior management team members Johnson and Dallison join chairman Richard Rybij as shareholders.
Custom manufactures and installs blinds, curtain tracks and curtains for clients in the education sector and NHS.
NatWest provided working capital facilities to assist the deal.
Additional funding for the transaction was provided by Connect Midlands, based at Loughborough University.
Law firm Shoosmiths advised the vendors and Geldards advised the management buy-in team.
"Connect Midlands remains a vital tool for companies looking to acquire, restructure or sell," adds Metcalf. The sooner its future is confirmed, the better for the deals market in the East Midlands.
