Deal round-up 08/05/02

Primary Capital backs £17m MBO; Excel backs Rotographik MBO; BoS makes Massive investment; Corbett Keeling completes £1.9m Linguaphone fundraising

Primary Capital backs £17m MBO

Primary Capital, the UK middle-market private equity fund manager, has invested in the management buyout of Ipswich-based Thompson & Morgan, a UK supplier of horticultural products. 

Total funding for the buyout, from US company International Garden Products, was £17m and includes funds for further expansion. Primary Capital led and arranged the equity element of the deal, with Bank of Scotland providing debt finance. Primary will hold a majority stake in the company with management holding a significant minority. 

Excel backs Rotographik MBO

Excel Capital Partners has financed the management buyout of Rotographik, a Barcelona-based magazine printing firm. Rotographik currently prints more than 250 titles per month, principally for the French and Spanish markets and currently has to subcontract additional demand.

The total transaction cost of E12m has been financed through a mixture of bank debt, vendor finance and equity and includes a capital increase to finance further growth. Rotographik, which prints more than 250 titles per month, principally for the French and Spanish markets, plans to increase capacity and sales in the next eighteen months. Excel backed the MBO through its Excel Capital Partners 3 fund.

BoS makes Massive investment

Bank of Scotland Corporate Banking has provided a combined debt and equity package of £14m to fund the expansion of pub operator Massive Limited, including the acquisition of London based Thomas and Carter pub chain.

The integrated finance package provides Massive with additional capital to continue its expansion to around 40 units, principally through the acquisition of Thomas & Carter, a managed pub operator in Central London with a portfolio of 9 pubs which represent an excellent strategic fit with Massive’s existing portfolio.

Corbett Keeling completes £1.9m Linguaphone fundraising

Corbett Keeling, the UK-based corporate finance advisory firm, has completed a £1.9m fundraising round for Linguaphone, the self-study language publisher. In the recent fundraising, funds managed by ProVen invested £600,000 and funds managed by Quester invested £210,000 in addition to financing from existing shareholders, including ProVen VCT, Guinness Flight VCT, Global Rights Development and Quester.

This is the third fund raising organised by Corbett Keeling for Linguaphone Group since February 1999, raising £6m in total for the firm’s development and acquisition of CD Live and ILT Holdings.