The coming storm
Rescues, pre-packs and spiky takeovers
Hello Rainmakers,
Batten down the hatches, put on a scarf and a hat and get ready for the storm.
This isn’t a metaphor, it’s good advice for the weekend’s weather.
This is your regular free Friday wrap of deals news and pithy comments.
Predictably, there’s a lot of pre-pack, distressed deal activity here, and a fractious takeover.
You’ll also get a taste of some of the stories you may have missed if you aren’t a subscriber, including the return of The Secret Investor.
Here’s a reminder.
So, to deals and news.
Where there's muck, there's brass - as the old saying goes. But the pennies haven't been rolling in for Northampton-based reusable nappy firm Bambino Mio lately, as the firm fell into administration.
But there's no use crying over spilt milk, because administrators from BDO have brokered a sale of the business and assets of the company immediately following their appointment to Demeter Project, a wholly-owned subsidiary of Kiddy Cloud.
The deal has saved the jobs of 22 staff who have transferred to the new owners of the business
As part of the transaction, the company’s wholly owned trading subsidiary, Bambino Mio B.V., based in the Netherlands, has also been acquired on a solvent basis.
Child's play, this rainmaking business.
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The woes of businesses struggling to deal with higher raw materials and labour costs in the pandemic's long aftermath have been in the news a lot lately.
With some established firms sadly foundering as a result, it was at least encouraging to report on one East Yorkshire business affected by these same problems which has been successfully sold in a pre-pack deal, with all 89 jobs saved.
Beverley-based Bartoline Ltd, a £22m turnover maker of decorating sundries for the home improvement industry, has been sold to Paramount Retail Group Holdings. The acquisition will contribute significantly to Paramount's growth, pushing the group's revenue to well over £100m.
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In better news, Robotic additive manufacturing specialist Q5D Technologies got £500,000 from SWIF's equity fund, managed by Maven, as part of a £2m investment round.
It will use the money to scale up its innovative 5-axis platform which automates the process of adding wiring and electronics to 3D surfaces.
While innovation is sometimes about robotics, it need not be.
The 170-year-old business now known as Tuffking makes specialised firefighting footwear, among its ranges of safety footwear.
Managing director Ryan Dhindsa said the six-figure investment, via FW Capital, "will help us to innovate and invest further" in its product range.
Let's hope there's no need for investors to put on their fire-fighting boots at either company.
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As spiky takeovers go, we’ll be keeping an eye on Irish media group Media Concierge’s 23p per share offer for regional newspaper business, National World, valuing the business at over £61m.
In a statement to the stock market this morning National World’s board said it “would be minded to recommend” the proposal if a firm offer was made.
Media Concierge is owned by Malcolm Denmark also the owner of Mediaforce UK, which until recently handled National World’s national advertising.
Dublin-headquartered Media Concierge currently owns 28% of National World and was a founding backer of National World when it was first set up in 2020 was formed by industry veteran David Montgomery to acquire former Johnston Press titles, including the Lancashire Evening Post, Yorkshire Post, The Scotsman.
As well as running direct mail and advertising businesses Media Concierge also owns newspapers in Ireland including the Derry News.
Media Concierge’s bid is for the 72.2% of National World it does not already own, but comes on the back of an acrimonious dispute between the two parties.
The businesses have now called a temporary halt to legal proceedings relating to an investigation into financial “irregularities” and a commercial dispute National World described in a statement as “a potentially systemic pattern of historical invoicing irregularities in relation to the activities of entities affiliated with Media Concierge”.
In November, National World went on to claim that “entities affiliated with Media Concierge are currently inappropriately withholding revenues due to [National World] totalling £4.4 million”.
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This week on Rainmakers we’ve welcomed the return of the Secret Investor.
A few insights, a few barbed jibes, and a touch of raw honesty about the swings and roundabouts of investing await.
Including what really gets said at an Investment Committee.
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On Thursday, we brought subscribers the details on the rescue of a pharma plant in Liverpool, after a contract manufacturer filed for administration.
Some people think of turnaround and recovery as the grubby little brother of the more glamorous M&A world, but there are increasingly blurred boundaries between the disciplines and moves by the big players to step into M&A.
It brought some insights into the high wire act of the animal pharma plant in Liverpool, the factory where penicillin was first mass produced during the Second World War.
It’s got some intriguing subplots and a foretaste of some of the political deals that may have been struck to get the deal done. But also some really useful lessons in how to run a successful rescue operation from Oliver Wright of FTI, who did just that.
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RAINMAKERS CONFERENCE IS BACK IN 2025
Our speakers have been revealed for the 2025 Rainmakers conference. They include those featured below, and many, many more.
twisted loop are excited to come on board as our headline partner. They join partners BGF, Dow Schofield Watts, KPMG, NorthEdge, Palatine, Shawbrook, Squire Patton Boggs & TDC.
Twisted Loop said: “This event is a testament to the strength and ambition of the North West’s business and investment community, bringing together an incredible range of talent, insight, and expertise.
“At twisted loop, we’re passionate about helping ambitious companies and progressive investment communities unlock new value by putting data and AI at the heart of their growth strategies. The themes of this year’s conference - collaboration, innovation, and tackling future challenges - resonate deeply with our mission to transform the way businesses grow and operate to reach their full potential.
“As the region continues to embrace innovation and adapt to a rapidly changing technological landscape, we’re proud to support Rainmakers in celebrating what makes the North West so dynamic, while contributing to the conversations that will shape its future success.”
And we have our breakout room partner PHD Industrial Holdings, drinks reception sponsor Marks Sattin, lanyard sponsor Gilbanks, table sponsor Datasite and umbrella sponsor T3C Group Ltd.
A powerful line up of speakers including high-calibre private equity backed entrepreneurs such as Ruth Percival, Helen Oldham and Thomas Ryder, the founder of Applied Nutrition and the chief executive of the biggest UK stock market float of 2024.
Hot topics on the packed agenda include how to create success in tech, the art of building value in a growing business, and making the case for private equity and corporate finance professionals on the political stage.
Newsworthy speakers will also include Shru Morris, anointed successor DSW, and Dave Richards, founder of IntelliAM, who has a tale to tell about his experiences with tech business WANdisco, and founder of Palatine private equity Gary Tipper.
Also appearing to set the political backdrop to the eventful year just gone will be Karim Palant, head of external affairs at the BVCA, and Greater Manchester Mayor Andy Burnham.
So save the date for Rainmakers 2025 – Wednesday 26 March, 2025 – and secure your place today at The Point, Emirates Old Trafford, Manchester.
It will bring more opportunities to network, more amazing speakers, more candid debate, more inspiring entrepreneurs, but also a chance to discuss the challenges of value creation.
The first Rainmakers Conference this March sold out, with more than 400 people attending to hear the insights and perspectives from entrepreneurs, investors and advisors, and to network with senior figures from across the corporate finance community.
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