Insider's April Deal of the Month
Midlands Business Insider editor Andy Coyne has selected the management buyout (MBO) of construction company Leadbitter Group, which has a base in Coventry, for Insider's April Deal of the Month.
The deal involved management buying the company for £40m from Netherlands-based engineering and construction company Heijmans NV.
Coyne said: "Construction has had a torrid time of it over the last couple of years and so it’s great to see a management team with the confidence to go it alone."
Birmingham-based Catalyst Corporate Finance advised the new management team alongside law firm Pinsent Masons.
The Leadbitter Group, which consists of both Leadbitter and Denne, has a turnover approaching £400m. The company is based in Oxfordshire and has an office in Coventry.
The buyout was led by the founder and current chief executive of Leadbitter Group, Bob Rendell. He entered a joint venture with Bouygues Construction, a subsidiary of the quoted French group Bouygues, to acquire Leadbitter.
Coyne added: "In an era when our companies are being snapped up by overseas buyers it makes a nice change to see that trend reversed, albeit with a little help from France."
Richard Sanders of Catalyst, who led the deal, said: "Whilst it has been a difficult time for many businesses in the construction sector, Leadbitter has demonstrated a great resilience, achieving continued growth across its business. We worked closely with the management team over a long period of time to implement a highly innovative deal that provides a sound platform for the future growth of the business."
