Raft of jobs saved as investor swoops for solar PV and insulation business
Leicester-headquartered insulation and solar PV provider Avonside Energy has been snapped up by a private investor, with the transaction securing over 100 jobs across the UK.
Avonside is a standalone division of Lancashire-based roofing giant Avonside Group, which fell into administration earlier this week after its profits were reportedly hit by the Covid-19 pandemic.
The East Midlands firm has been purchased by Rcapital, a London-based specialist investment business which has owned a number of companies in the property and construction sector including Rock Roofing Contractors, Alsop Architects and Plowman Craven.
It is not part of the wider group insolvency.
Rcapital, which has also swooped for Avonside’s renewables business, has appointed an experienced chairman to strengthen the solar panel installer’s management team.
Avonside Energy is expected to generate revenues of over £15m this year. With operations in the East and West Midlands, Glasgow, Leeds, Newcastle, Warrington and Stevenage it is a key part of the new build supply chain, counting Barratt Homes, Taylor Wimpey, Persimmon Homes, Redrow and Miller Homes amongst its customers.
Rcapital was advised by Browne Jacobson LLP on the transaction.
Bill Rumble, managing director at Avonside Energy, said: “I’m delighted to confirm that agreement has been reached for Avonside Energy to be acquired by its management team with the support of Rcapital. This means it’s business as usual for Avonside Energy and the investment brought by Rcapital will mean we are in an even stronger position to make a major contribution towards the significant challenge our New Build customers face in satisfying the increased energy efficiency demands.”
Chris Campbell, partner at Rcapital, said: “Avonside Energy is a profitable business and a significant employer across the country with an enviable blue-chip client base. We are delighted to be supporting Bill and his team and firmly believe that Avonside Energy will be integral to helping the UK achieve its decarbonisation strategy of net zero by 2050.”
Kirstie Provan, partner at Begbies Traynor and joint administrator of Avonside Group Services Limited, added: “We are delighted to have completed the solvent rescue of the energy division of the Avonside Group, securing the preservation of a significant number of jobs and the future of the business. The purchase by Rcapital gives the business a solid platform from which to move forward, and we wish the management team every success.”