LDC backs £9.1m Map 80 BIMBO

Royal Bank of Scotland provided working capital for the deal.

Lloyds TSB Development Capital (LDC) has backed the £9.1m management buy-out/buy-in of Map 80, a supplier of industrial labelling systems.

LDC put £3m of equity into the deal which was led by DHD Corporate Finance. Royal Bank of Scotland provided £6.1m of working capital. The cash will help fund the incoming chief executive Colin Bateman’s plans to develop the business overseas. “The Map 80 is entering a new significant phase in its development. As many of Map 80’s customers are in the pharmaceutical sector, where labelling is critical in the traceability of drugs, demand for efficiently managed, technically advanced software will only increase,” he said.

Bateman was previously managing director of an engineering components company. He also has sales and marketing experience gained at senior level in the pharmaceutical industry. The other managers involved in the buy-out are Graham Wiseman, who becomes finance director, and the existing operations directors of the company's two units, Colin Walters and Jerry Foster. DHD Corporate Finance in Southampton advised the management team.

The Map 80 comprises two companies: Map 80 Systems Limited and Map 80 Systems (East) Limited. It provides label-printing systems to customers including Glaxo Wellcome, Johnson & Johnson, Kodak and Marks & Spencer.

Stuart Veale, senior director LDC’s Reading office, said: “LDC has a strategy to invest in quality, high growth companies and the Map 80, with its enviable reputation, is an ideal candidate for funding”.

Formed in the 1970s, Map 80 employs 41 people at its two units in Berkshire and Essex, UK. In the year to March 2001 the two companies had combined sales of £7.4m and generated a profit of £2m.