Motor accident repair venture Innovative Repair Group (iRG) has been acquired in a management buy-out backed with a new seven-figure lending facility that will help drive further expansion.
The deal has been backed by leading alternative lender to mid-sized SMEs, ThinCats.
The exact value of the lending facility has not been disclosed, but is understood to be in the region of £6m.
IGR is the seventh largest independent network of accident repair centres for motor vehicles in the 海角视频. It has a presence across south Wales, as well as in Bristol and Hereford.
Since 1999, its body shops have worked alongside some of the 海角视频’s leading car manufacturers, insurers and accident management companies, carrying out repairs on all makes and models and light commercial vehicles.
Employing more than 270 across its 11 sites, the MBO provides an exit for founder Stephen Peart.
The MBO team consists of Lee Wallbank (managing director), Daniel Lewis (head of finance), Phil Dawson (head of compliance and HR) and Joseph Moore (head of commercial). They were advised by Cardiff-based Lexington Corporate Finance.
Mr Wallbank said: “We’re delighted to secure this deal with ThinCats. For more than 20 years, the business development strong relationship with car manufacturers and insurers.
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“Working with blue chip companies such as Admiral, Direct Line, LV and Vizion means we’ve been able to build strong organic growth, in addition to a number of acquisitions in recent years.
"We’re looking forward to a strong start to 2020 and would like to thank everyone involved with us in this journey. A special mention and a huge thank you to Steve Peart for allowing us the opportunity to build on his legacy.”
Alison Whistance, who heads up the funding team at ThinCats, worked closely with lead adviser Thomas Edwards at Lexington Corporate Finance. Legals were led by Ben Moylan at Freeths banking team in Bristol and Gemma Davies at Hugh James in Cardiff, who advised management.
Mr Edwards, director of Lexington Corporate Finance, said: “We are delighted to have advised the management team on this transaction. iRG is an excellent business with a great customer base and strong reputation in the market place.
“We worked closely with the management team to refine its business plan and projections and structure a funding package that allowed them to facilitate the MBO whilst also allowing the business to continue along its current growth trajectory”
Ms Whistance said: “iRG is a fantastic south Wales business and I’m delighted to support the new management team at this exciting juncture. Look under the bonnet and you see a business with strong historic growth, a great team with a wealth of experience and key skills as well as excellent partnerships.
"They are well positioned in the market and continue to use technology to improve the customer experience and help develop innovative solutions to improve efficiency and turnaround times for their customers.”