Walsall leather goods firm purchased in new deal
A WALSALL leather goods firm has been sold in an undisclosed deal which helps to sustain the town’s traditional industry.
Joseph Clayton and Sons of Chesterfield said it had reached an amicable arrangement to take over the assets and business of J & E Sedgwick & Co.
The Camlee Group acted as lead advisor in the deal, which creates the largest vegetable tanning group in the UK. It said the acquisition was initiated to fit with the long term plans of the shareholders and senior management of Claytons.
While the two businesses will continue to run as separate units, retaining the existing management teams, the deal will create an operation with a combined turnover exceeding £6m. All members of staff will be retained from each company, creating a joint workforce of around 60.
Certain functions such as finance, purchasing and sales will be coordinated to ensure the enlarged organisation is better placed to support the powerful brands of Sedgwicks and Claytons.
Richard Farrow, current managing director of Sedgwicks, said: “We are delighted with this outcome for our business. Claytons understand our world of vegetable tanned leathers and have a similar heritage to ours. There could be no better custodian to pass our business to.”
Farrow is the grandson of one of the early owners and managers of the company and with his fellow shareholders, had been looking at the future of the company as he neared retirement. He will remain as MD and also joins the board of the expanded group.
Ian Walker, chairman and MD of Claytons, said: “While it is easy to see us as two very similar vegetable tanning units in fact our product ranges only have a narrow area of overlap.
“Claytons produce a wide range of bespoke leathers with a variety of end uses while Sedgwicks focus on bridle and saddlery leathers. This is not surprising given that Claytons have developed from an industrial leather background while Sedgwicks have developed out of an equestrian; our processes, leathers and customers are distinct.
“So this is not an exercise in consolidation but in growth for two longstanding businesses. We are also pleased to be manufacturing in a location near Walsall, the important centre of UK saddlery and leather goods.”
Paul Thompson, Project Director at Sale-based The Camlee Group, said: “We were delighted to have advised the shareholders of J & E Sedgwick on this transaction. Clayton’s were one of a handful of potential acquirers that we identified right at the beginning of the process and we are pleased to have played a part in creating the largest vegetable tannery group in the UK.”
