ABN AMRO Capital has bought UK ventilation company Manrose Manufacturing from private owner Robert Belcher, as a bolt-on acquisition for portfolio company Volution.
The price was not disclosed, but a source close to the deal said the company was valued at about £20-25 million ($40-50 million, €30-37 million).
Volution, which makes the market-leading Vent-Axia extractor fans, was acquired by ABN AMRO Capital in July 2006 in a deal thought to be worth about £160 million. In January this year, ABN sold off its cable management division to Lloyds Development Capital for about £50 million, to concentrate on the flourishing ventilation business. Manrose produces fans for domestic use and so it was bought to expand the product range of the more commercially focused Volution.
ABN said the Manrose deal was the first acquisition in the buy and build strategy it was pursuing for Volution, as it looks to expand its geographical presence and its product range.
Paul Southwell, managing partner of ABN AMRO Capital’s UK buyout team, said the add-on acquisition demonstrates the firm’s ability to accelerate the growth of its portfolio companies. “When we invested in Volution we made the strategic decision to sell its non-core cable management business, so that the proceeds would put us in a better position to acquire other businesses,” he said.
ABN Amro Capital has €2.5 billion ($3.4 billion) under management. It has led four other UK buyouts this year, including Dunlop Aircraft Tyres and office supplier OyezStraker.