Precision engineering firm Impress Group has undergone a management buyout ahead of the retirement of its founders.
Three of the North East firm's directors, George Peel, Steven Young and David Haley, are retiring from the business as commercial director Jason Young has taken over. The deal has been backed by Ben Suquet, founder of Lucena Capital, who has invested in Impress and will work alongside Mr Young to drive subsequent growth.
Impress operates from bases in Blaydon and Washington and since its inception in the mid 1990s has provided services such as pressings, CNC milling and laser cutting. The £9.6m turnover firm employs 110 people across its two sites.
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Mr Young joined Impress 23 years ago and has worked his way through various roles from his first sales and admin position to take over the reins of the growing firm. He will lead day-to-day running of the business, working with Mr Peel and Mr Young until their retirements in the next two years.
Mr Young said: "This is definitely an exciting time for the business, and we are looking at making some significant investment across the board. We have identified a number of growth areas we want to pursue. The precision engineering market is rapidly evolving with new technologies emerging, which would allow Impress to continue to service our customers at the highest level. We really want to continue to be at the forefront of this.
"We are also investing in improving our processes and internal systems, and have already started to upgrade our ERP systems. We will also be concentrating on our people who have made Impress the business it is over the years through investment in training and development. We’re always keen to add new people to our team, one of the biggest barriers to growth is not being able to find the right people, so we are keen to bring in people to help support our ongoing growth and maximise our capacity."
Mr Suquet, who specialises in SME investment, said he was impressed by the skills and knowledge within the business. He said: "The business has a fantastic record of supporting customers, and by investing in our ongoing growth, we can ensure we have the capacity to then support the growth of our customers’ businesses. Jason is an ideal leader for Impress Group. Informally acting as MD of Impress for several years, he has developed an in-depth knowledge of the business, the precision engineering sector and has a clear vision for the business ahead."
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The deal was supported by WilliamsAli Corporate Finance, led by Abu Ali and Tristan Woolcock. Daryl Peart at Virgin Money supported the transaction with financial backing while John Nicholson and Max Gilchrist at Mincoffs Solicitors advised Mr Young.
Mr Ali said: "Impress Group has earned a fantastic reputation for the quality of its work and dedication to its clients, and the ethos of the business has been led by its founders, who continue to have such passion for the work they do. Under Jason’s leadership, as someone who shares that love and dedication, the business is ideally placed for further growth.
"Lucena Capital is committed to supporting the growth of businesses for the long-term, carefully selecting those they choose to invest in and working incredibly closely and proactively with their owners to jointly map out a successful future. This is a model we do not often see, but one which has built an excellent track record for Ben and Lucena.
"Working together, Jason and Ben - supported by Steve and George for the immediate future - have an excellent opportunity to really take Impress Group to the next level, and we’re delighted to have played our role in making that possible.”
Lucena Capital was supported by Hill Dickinson (legal), Gerald Edelman (financial) and K3 Advisory (tax). And Impress directors were supported by Tony Tomlin at Debere NE (tax) and David Gair at Mitchells Chartered Accountants (financial).