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28 deals update MBO of CIPHR backed by LDC


Completion Date: 05/16 Target: CIPHR


Acquirer: Management team backed by LDC


Deal Value: Undisclosed


Details: HMT LLP, led by partners Andrew Thomson and Paul Read undertook financial and tax due diligence for Lloyds Development Capital on its investment in HR software provider CIPHR. The investment will enable the business to further drive sales effectiveness as the business targets significant revenue growth of its SaaS platform. The MBO was led by chief executive officer Chris Berry and chief operating officer Allan Oehlers, with LDC Investment directors Alastair Weinel and Chris Baker joining the board as non-executive directors. Alastair Hazell has been appointed as non-executive chairman


Funding: LDC Legal Advisers: Shoosmiths and Osborne Clarke Financial Due Diligence: HMT Commercial Due Diligence: Credo Consulting


Ethical Property financing by Triodos


Completion Date: 16/05/16 Target: The Ethical Property Company Deal Value: £26.5 million


Details: Penningtons Manches has advised The Ethical Property Company on a £26.5m loan facility from Triodos Bank. The facility provides a mix of term and revolving facilities, which refinance EPC's existing facilities with Triodos and will help fund the company's future growth and short-term finance supporting the acquisition of a new flagship building


Funding: Triodos Bank NV


Legal Advisers: Penningtons Manches LLP (James Went and John Chater) for Ethical Property; TLT for Triodos


Micheldever acquires The 10th March Group


Completion Date: 23/05/16 Target: The 10th March Group Acquirer: Micheldever Tyre Services Deal Value: Undisclosed


Details: RSM's transaction services team completed financial due diligence on behalf of Micheldever Tyre Services on its acquisition of The 10th March Group, which operates five retail tyre depots in Hampshire trading as Tyre & Auto Group


Funding: Graphite Capital Legal Advisers: Irwin Mitchell


Financial Due Diligence: RSM: Nick Williams, partner; David Copley, partner; Joanna Slade, supervisor; Michelle Harris, corporate tax partner


Micheldever acquires Bell Silencer Systems


Completion Date: 05/16 Target: Bell Silencer Systems Acquirer: Micheldever Tyre Services Deal Value: Undisclosed


Details: RSM's transaction services team completed financial due diligence on behalf of Micheldever Tyre Services on its acquisition of Bell Silencer Systems, which operates a retail tyre depot in Swindon


Funding: Graphite Capital Legal Advisers: Irwin Mitchell


Financial Due Diligence: RSM: Nick Williams, partner; David Copley, partner; Alex Milne, associate director; Dominic Lowbridge, executive; Michelle Harris, corporate tax partner


businessmag.co.uk Investment in Thread by Beringea


Completion Date: 05/16 Target: Thread Deal Value: £4 million


Details: HMT LLP, led by partner Andrew Thomson undertook due diligence for Beringea LLP on their £4 m investment in UK men's personal styling service provider Thread. The UK-based company has over 325,000 clients and Beringea's £4m will be used to continue the business' growth and expand its team in London as well as launching a womenswear version in the future


Funding: Beringea Financial Due Diligence: HMT


Completion Date: 03/06/16 Target: Testing Solutions Group Acquirer: Undisclosed Deal Value: £4 million plus


Details: Coffin Mew acted for the seller, who lived on the Isle of Wight, basing the online software testing company in London, with bluechip clients such as top city legal firm Linklaters and leading financial institutions and regulatory authorities. The deal included an element of earn out and deferred consideration


Funding: IGL Corporate Finance Advisers: Moore Stephens for the buyer


Legal Advisers: Coffin Mew for Testing Solutions Group. Irwin Mitchell for the funders. Howards for the MBO team Financial Due Diligence: Menzies for the funders


Steamer Trading acquires Kitchens (Catering Utensils) Completion Date: 05/16 Target: Kitchens (Catering Utensils) Acquirer: Steamer Trading Deal Value: Undisclosed


Details: RSM's transaction services team completed financial due diligence on behalf of Steamer Trading on its acquisition of West Country-based kitchen equipment retailer Kitchens (Catering Utensils)


Funding: Coutts Legal Advisers: Adams & Remers


Financial Due Diligence: RSM: David McCulloch, partner; Andy Choy, manager


Sale of Northwood GB to Belvoir plc


Completion Date: 08/06/16 Target: Northwood GB Acquirer: Belvoir plc Deal Value: £22 million


Details: Coffin Mew acted for Northwood GB in the sale of the business to Belvoir plc creating the largest property lettings business in the UK, creating huge ripples in the property sector. A multiple of eight with £11.5m up front and the balance of £22m on a two-year earn out, paid as a mixture of cash and shares


Funding: £2.5 million equity fundraise – Brokers Cantor Fitzgerald. NatWest


Corporate Finance Advisers: Menzies Corporate Finance (John Foundling)


Legal Advisers: Coffin Mew (Amanda Brockwell and Hayley Bevis) for Northwood. Browne Jacobson for Belvoir plc. Berwin Leighton Paisner for the brokers


Financial Due Diligence: PwC


Sale of Testing Solutions Group


Latest deals data from across the region Management buyout of NOP Global


Completion Date: 03/06/16 Target: NOP Global Acquirer: Management team Deal Value: Undisclosed


Details: Freeths LLP acted for the management team on the buyout of NOP Global, the full service multi-channel field marketing agency, from GfK UK


Legal Advisers: Freeths LLP (Leon Arnold and Malin Svanberg Larsson – corporate) for the management team. Pinsent Masons LLP for GfK


Sale of Choice Healthcare Solutions to OPEN Health


Completion Date: 16/05/16 Target: Choice Healthcare Solutions Acquirer: OPEN Health Deal Value: Undisclosed


Details: Pitmans LLP successfully advised Choice Healthcare Solutions (CHS), an international specialist medical communications agency, on its sale to OPEN Health. CHS will be rebranded under the OPEN Health Medical Communications agency Succinct


Corporate Finance Brokers: Results International Group LLP


Legal Advisers: Stephanie Perry, Pitmans LLP, advisers to Choice Healthcare Solutions


Investment in Hive Online by Encore Capital


Completion Date: 05/16 Target: Hive Online Deal Value: £2.5 million


Details: HMT LLP, led by partner Paul Read and manager Antonia Fernandez undertook financial and tax due diligence for Encore Capital on their investment in Hive Online


Funding: Encore Capital Financial Due Diligence: HMT


Nexeon refinancing


Completion Date: 05/16 Target: Nexeon


Investors: Woodford, Imperial Innovations and Invesco Perpetual Deal Value: £30 million


Details: Advising Nexeon on its £30m fundraise from Woodford, Imperial Innovations and Invesco. Nexeon is developing battery materials for next generation rechargeable (Li-ion) batteries and will use the funds to build a development lab in Asia; to acquire complementary technology; and begin work on the design of a larger manufacturing facility


Legal Advisers: Penningtons Manches to Nexeon, Mishcon de Reya to Woodford and Jones Day to Imperial Innovations and Invesco Perpetual


Next Deadline


The next Deals Update will be in our September issue


Deadline for submissions is Monday August 8 To submit deal information or to advertise on this page contact: Steve Banbury • 0118-9766414 • steve@elcot.co.uk


Elcot Publications is not responsible for the accuracy of information in the Deals Update section which is supplied by individual firms


THE BUSINESS MAGAZINE – THAMES VALLEY – JULY/AUGUST 2016


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