Northern voice joins top table of PE
Our Friday freebie includes Mission Mars weighing up options, including selling a slice of Rudy's; also rescues at haulage firm and a tech business, and funding for a paper plant
Hello Rainmakers,
One of the objectives of our Rainmakers conference was to make sure that the voice of regional players in your world had a seat at the policy table.
Included in that was pushing for the main lobbying body for the private capital industry - the BVCA - to have a strong regional voice.
This week the BVCA appointed Beth Houghton of Palatine to its Council. This is a good thing.
Anyway, more of that later.
This is free to all who have signed up, however Rainmakers subscribers get two unique pieces a week, but 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.
If you wanted anyone to represent the private capital sector as a force for good, then as Impact Managing Partner at Palatine, which has offices in Manchester and Birmingham, she’s got the right credentials.
She’s defined and led the strategy and process for selecting impact investments, engaging with portfolio companies to drive value creation initiatives, and tracking and reporting results to investors.
The Council is the body responsible for the oversight of the strategy and management of the affairs of the BVCA and made up of a mix of investors and advisers.
Also noteworthy is that David Wilmot, Founding Partner of Apera, will also join the council as the first specialist private credit member.
Beth Houghton said: “Too often private equity is seen as concentrated in London and the South East, but the reality is very different. Across the North and beyond, there are outstanding entrepreneurial businesses that deserve recognition and support.
“As leaders in private equity, we have a responsibility to raise the profile of our industry, and to showcase the jobs, wealth creation and societal impact that responsible investment can deliver.”
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This week subscribers got the inside track on Dormeuil Manufacturing’s acquisition of Alfred Brown (Worsted Mills) in a deal that brought together two Yorkshire heritage cloth makers. The acquisition is emblematic of a broader pattern unfolding across the sector.
Sheryl Moore examines how mergers, refinancing deals, and sustainability-driven investments are threading new momentum into one of the region’s oldest industries.
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Amidst a tough economic climate and a painful Budget looming it is heartening to report on a deal which has kept a long-established haulage firm on the road. Driffield-based BI Halder & Son Ltd has been on the scene for more than 50 years and supplies a range of haulage services to the agricultural industry, along with modern bulk storage drying and testing facilities. The company’s finances had been hit by the effects of two now grimly familiar events - the pandemic and the Ukraine war.
It has now been sold in a pre-pack deal to Halder Transport & Storage, rescuing all 45 jobs at the company. The deal was secured by Sean Williams and Phil Deyes from Leonard Curtis, who were appointed joint administrators to BI Halder & Son earlier this month.
Ominously however, Williams pointed out that most SME hauliers are currently feeling the strain. He warned: “The sector remains essential and busy, but most are running businesses with higher operating costs, on thin margins, and a rising number of insolvencies indicate performance is fragile rather than robust.”
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Learning tech firm Thrive has passed another big test after swooping in to acquire software company Huler in a pre-pack deal, saving 17 jobs and proving it’s top of the class when it comes to smart business moves.
Advised by corporate finance whizzes Provantage, the Nottinghamshire-based company has added Huler to its ever-growing syllabus of learning platforms, just months after acing the acquisition of AI mentoring firm Guider.
The deal means Huler’s team and brand live on under Thrive’s umbrella, ensuring no lessons were lost in the process.
Thrive CEO Sean Reddington said: “We’re in the AI era now, and it’s time workplace tools caught up. With Thrive, Guider and Huler, we’re building tools that are actually fit for how people think, learn and work today.”
Provantage’s David Browne added: “It’s been a privilege to work with Thrive again – this acquisition strengthens their mission to reshape learning and employee experience.”
With Thrive clearly hitting its stride, the company’s growth story looks set to be one lesson the rest of the industry won’t want to skip.
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Rainmakers subscribers will also have seen a deep dive into Beech Tree’s efforts to build value at Wigan-based Fourteen IP, which has this week merged with an American counterpart.
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Wolverhampton-based Task Consumer Products has got nothing to paper over as it secures a £22m funding package from HSBC this week. The independent manufacturer of household paper products has cleaned the house with this deal which will support the purchase of a new 181,409 sq ft site to expand its manufacturing capabilities.
A family-run business, Task Consumer Products will use the new facility to introduce a new product line alongside its existing range. Purchasing the site marks a significant milestone in the business’s growth strategy, with additional funding from HSBC approved for new machinery and production equipment.
The business will now be able to increase its production capacity by 12,000 tonnes and plans to enhance its supply chain capabilities by producing higher volumes of stock, as well as 10 new jobs for the local area.
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Mission Mars, the owners of the Albert’s Schloss bar business and Rudy’s Pizza Napoletana brand, has reportedly appointed Houlihan Lokey to weigh up its next funding options.
The hospitality success story would be valued at £100m, and options on the table could include a separate sale of Rudy’s.
Founded by Roy Ellis and Neil Macleod who previously founded and built the Revolution bar chain, Mission Mars took £10m of equity investment from BGF in 2018.
The business also acquired a portfolio of already popular sites built up by Joel Wilkinson and Adelaide Winter, including Trof, Gorilla and The Deaf Institute.
At the North West leadership awards in March Roy Ellis described the hard work ethos he and McLeod have brought to the business, including the rollout of Rudy’s. He revealed that he sometimes works on a pot washing shift in a venue in order to understand the dynamics.
This news follows last week’s speculation that Palatine is looking to sell cocktail chain The Alchemist.
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Next week it’s the return of the Rainmaker Awards to the East Midlands after a hugely successful first year in 2024.
The Rainmaker Awards will bring together the East Midlands deals community to celebrate the best deals and teams from the past 12 months, as voted for by the corporate finance community themselves in a one firm, one vote system.
The casual dress code will swap the traditional tuxedos and long speeches for an evening that focuses on recognising and celebrating the best work from the year.
The night will provide an opportunity to network with the leading individuals and firms in the region.
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