LDC in Benson Group buyout
Private equity provider LDC has completed a management buyout of Leicestershire's Benson Group.
The company is one of the UK’s largest manufacturers of printed folding carton and sleeve packaging.
LDC's Midlands team injected a "significant investment" into Benson Group in its second transaction from the £200m manufacturing and specialist engineering commitment.
The deal with LDC has facilitated the exit of the two principal Benson family shareholders from the business. The new management team is now preparing to launch its growth strategy, said LDC.
Benson Group, which has a turnover of about £95m, employs more than 900 staff and operates from its head office in Bardon in Leicestershire. It also operates manufacturing sites in Newcastle, Gateshead and Crewe.
The deal was led by investment director Andy Grove. He and Martin Draper, LDC’s UK new business managing director, will both join the board with immediate effect.
Mark Kerridge managing director of Benson Group said: “LDC’s investment and support for Benson Group will help the company realise our growth ambitions. It will further strengthen our market leading position, provide a foundation for future growth, and ensure that we maintain a high quality service for our customers.”
Grove added: "In Benson Group, we are partnering with a high-quality management team and a market-leading business which has a strong platform from which to generate further growth. Going forward, we will work closely with the business to identify acquisition opportunities in order to help accelerate growth."
Lloyds Bank Corporate Markets’ acquisition finance team (Paul Whitehouse, Andy Taylor and Martin Cordey) and HSBC Leveraged Finance Midlands team (Stuart Grantham and Andy Payne) jointly provided a package of senior debt and revolving credit facilities to support the transaction.
PaWhitehouse said: "Benson Group has a highly experienced management team, strong growth track record and best-in-class manufacturing facilities, which position the business to continue its expansion with the backing of LDC."
Originally established in the 1920s by the Benson family, Benson Group has been led by existing managing director Mark Kerridge since 2002 and has grown in recent years following a mix of strategic acquisitions, organic growth and investment into all of its manufacturing facilities.
