Notts manufacturer sold to Portuguese engineering firm
Fabrikat, the Sutton-in-Ashfield manufacturer, has been sold by Portuguese engineering and steel protection company Metalogalva – Irmãos Silvas.
The deal provides an exit for private equity firm Duke Capital, which has invested £6.2 into Fabrikat since it invested in an MBO three years ago.
The value of the deal is undisclosed, but Duke says it has benefited from a “significant equity gain” in addition to the return on its core investment.
Paul Allen, CFO of Fabrikat, which makes lighting colums and guardrails, said: “We would like to thank Duke Capital for buying into our vision in a way which motivated us to drive significant growth in the company. Duke’s capital enabled us to execute the MBO while the team supported us by becoming partners in our growth and success.
“Initially we went through a very competitive process but only Duke Capital’s offer allowed us to keep 70% of the business that we had spent years crafting as the senior management team. And to top it off, we were able to keep control of the timing of the sale and the counterparty to whom we entrust the future of Fabrikat and our employees.”
Neil Johnson, CEO of Duke Capital, said: “Fabrikat is a real success story for Duke and a great case study for why Duke’s capital is a perfect fit for individuals seeking to execute an MBO.
“Our capital allowed long-standing employees of a strong business to step up into large equity ownership positions and in that role, they continued to prove themselves as great stewards of the business, creating value for all stakeholders. In turn, we are pleased to build on our already robust track record of achieving above-average returns on exits.”
