Private equity buyouts reach £670m
THE North West private equity market gained momentum in the first six months of the year as the value of buyouts reached £670m, according to the latest research from the Centre for Management Buyout Research (CMBOR).
The research, which is sponsored by Equistone Partners Europe, showed that the volume of buyouts also picked up. There were six buyouts in Q2, compared to four in Q1, representing an increase in investor confidence.
The North West continued to be the most active exit market outside London and the South East, with a total of 13 exits in H1 2015 valued at £1.4bn, demonstrating the continued growth in strength of the regional market.
A standout transaction was the IPO of Shawbrook Bank, previously Manchester-based Whiteaway Laidlaw, which reached a value of £725m when it listed in April this year.
Other notable exits include the sale of Birkenhead-headquartered manufacturer Survitec to international private equity firm Onex Corporation in a £448m deal, and the sale of Alchemy Partners’ stake in Revolution Bars Group via an £86m float in February.
Investment Director at Equistone Partners Europe in the North of England, Andi Tomkinson said: “It is positive to see a strong and growing investment and exit market in the region. With the stability of now having a new government in place, we expect to see even more deal processes getting underway and more transactions coming to fruition in the second half of 2015.
“The number of significant exits in the region shows that we’re still very much in a seller’s market and it’s positive to see that IPOs remain a popular route to exit for businesses.”
