Death of the Zombies will open up opportunities for new entrants. Discuss

Our weekly free round up of key deals and major moves in the Rainmakers world

Hello Rainmakers

The gloomy news this week was that businesses across hospitality and retail were appointing administrators.

This slightly better news is that this could be an opportunity for solvent businesses to rescue so-called zombie companies according to the Begbies Traynor Red Flag Alert, but also that well-capitalised new entrants to growing markets, and big consolidators, could take advantage of their misfortune.

Don’t forget, the Rainmakers Summit discount code is on this newsletter, but keep reading the rest of it before you get there.

This is free to all who have signed up, however Rainmakers subscribers get two unique pieces a week, and also full access to our back catalogue of investigations, scoops, and insights, including updates from The Secret Investor, interviews with entrepreneurs, and the leaders from VC and PE investors like Endless, and River Capital, Foresight, Mercia, Puma and LDC.

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Alpine Group, the Bury-based provider of fire suppression and detection services, has acquired Channel Fire, a Kent-based specialist fire protection business, for an undisclosed sum.

Alpine’s Claire Owens says the deal strengthens its capability in the delivery of accredited fire protection solutions across complex, high risk and technically demanding environments.

Founded in 2015, Channel Fire delivers bespoke design, installation and maintenance solutions where standard approaches are not always suitable.

The acquisition supports Alpine Group’s ongoing strategy to build out its Special Risk capability, enhancing its ability to support customers operating in mission-critical and regulated environments.

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Private equity investor Foresight is pumping £3m into the expansion of Manchester founded café group Federal in a bid to follow its previous leisure success with Mowgli, 200 Degrees Coffee and Roxy Leisure.

Federal, which frequently has queues out of the door at its four sites in Manchester and Leeds will use the £3m to support a regional rollout strategy.

The investment has been made from Foresight’s North West Fund, North East Fund and West Yorkshire Growth Funds, which gives a hint as to the next locations, and has deployed Karen Jones, a seasoned hospitality executive, as chair to work alongside founder Claudio Ribeiro, who started the business in 2014.

Jones said: “Federal occupies a vibrant space in the growing market for daytime socialising over great coffee and delicious food. Federal aims to be at the heart of the communities it serves and Claudio’s belief in the power of hospitality to brighten a customer’s day is inspiring.”

The move comes as many hospitality businesses face tough times with trade body UKHospitality claiming the sector was at risk of losing as many as 100,000 workers as a result of minimum wage rises, the introduction of a tourist tax and an increase in business rates.

However, Federal has spotted “a significant opportunity” to accelerate its site rollout and replicate its successful offering and operating model. Foresight claims that it’s experience in successful hospitality rollouts including Mowgli, 200 Degrees Coffee and Roxy Leisure, will help the Company unlock its growth potential to deliver 18 sites by 2030 resulting in the creation of up to 250 jobs.

Clare Alvarez, Partner at Foresight said Federal represents “exactly the type of high quality, scalable business we look to back” and highlighted its “proven model in a growing market segment”.

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BGS Group is switching on a new chapter in its growth story after completing its first-ever acquisition.

The Warrington-based multi-utility infrastructure provider has plugged in Northampton’s Utilities Direct Ltd (UDL), expanding its footprint beyond the North.

UDL, a self-lay specialist serving residential water networks since 2007, will now join circuits with BGS’s existing teams.

Together, the companies aim to amp up service capabilities, cover more ground, and offer electricity and multi-utility solutions to UDL’s clients. Financial terms of the deal were not disclosed.

As part of the deal, Mat Sheppard and Bryan Lamont will retire, with the rest of UDL’s team transferring to BGS.

The acquisition sets the current for further growth as BGS continues to expand its national grid in the multi-utility infrastructure market.

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Sutton Coldfield-based Tesla UK - no relation to Elon Musk - was acquired by US-based IPS Corporation this week.

The manufacturer of plumbing and heating products came into new ownership in a plum deal completed by IPS subsidiary Watertite Products. The deal is expected to boost Watertite’s international presence and strengthen its manufacturing and distribution capabilities.

With £15m turnover, Tesla UK generates around 20% of its revenues from overseas, with the Middle East being its main export market. So Watertite will now have access to Tesla UK’s clients in these regions.

The manufacturer will continue to operate from its base in Sutton Coldfield, with its existing leadership and team, while joining the flow of Watertite’s business. MD of Tesla UK, Patricia Quinn, has celebrated the wave of opportunities the partnership will provide for growth, innovation, and value creation for customers and staff.

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Civic has acquired Quattro, a structural and civil engineering consultancy based in Edinburgh.

The deal supports the UK-wide built environment firm’s expansion in Scotland and brings a team of 15 engineers and technicians into the business.

The transaction is Civic’s third since 2024, including New Practice and Watt Energy & Consulting Engineers, which integrated in 2025.

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FirstGroup has acquired Hills Coaches of Wolverhampton.

It will be operated by First Bus and forms part of the group’s strategy to grow a diversified coach portfolio, expanding its operational footprint and contracts in regional markets.

Founded in 1965, Hills Coaches employs 40 people and operates a fleet of 22 coaches from a depot in Wolverhampton. All employees will continue under First Bus ownership, and all existing services, contracts and bookings continue unchanged.

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A Leeds-based compliance specialist which secured a £10m investment round one year ago from Arete, TDC and Seneca, is not resting on its laurels. Product Partnerships Ltd (PPL) has fired up its growth strategy by acquiring a majority stake in Harrogate-based Think Compliance. This week’s deal means PPL has added more than 200 clients to its group and enhanced its capabilities across regulated sectors.

Since completing a management buyout, PPL says it has quadrupled its client base and is now exploring further potential takeovers as it looks to consolidate a fragmented compliance market. The business now supports a growing roster of brands including Aston Martin, Hyundai, JD Sports and Scottish Power. Phillip Garlick, PPL chief executive, said: “We are building a national leader in outsourced compliance and the last 12 months have demonstrated the scale of the opportunity ahead of us.”

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The Rainmakers Summit on the 25th of March will feature a debate on the future of professional services as partners consider their next strategic options.

Featuring leaders of businesses who have chosen very different paths, and an investor in one of the consolidators driving the change across the sector, the debate will throw an intense focus on the stark choices that professional services firms face.

Making the case for independence will be Helen Clayton, managing partner at accountancy firm PM&M.

Telling the story about their respective lives on the public markets will be Rakesh Shaunak, CEO of MHA, and James Sheridan, head of M&A at Knights PLC.

Explaining the investment decision behind aggregation will be Matt Nicholson, investment lead at Tenzing, the private equity backer of accountancy consolidator DJH.

As a thank you for being part of our Rainmakers community, we are pleased to offer an exclusive 20% discount for the upcoming Rainmakers Summit on March 25th.

This is a unique opportunity to engage with industry leaders, gain insights, and connect with like-minded professionals.

As you can see the agenda features keynote speakers and exclusive sessions hearing from The Beauty Tech Group, Northern Gritstone, Rem3dy Health & GM Pension Fund. With some more details below…

Event details & registration:

https://www.rainmakerssummit.co.uk/

Discount code: RAINMAKER20

Please note that this offer is available for a limited time. We encourage you to secure your place at your earliest convenience.

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