James Hargreaves completes buyout

A PLUMBERS merchants has acquired all its shares held by outside shareholders in a buyout aimed at in the company in an ambitious buyout that defies the current economic gloom.

James Hargreaves (Plumbers Merchants), based in Burnley, has 23 branches across Lancashire and Yorkshire and has completed the purchase of all outside shares to bring full ownership of the company in-house.

The firm’s 20 minority shareholders accepted a pay-out to relinquish their stakes which, in some cases, date back 40 years to when the company was formed.

James Hargreaves began buying up outside shares five-years-ago and managing director Gordon Rothwell said the aim is to incentivise current and future managers with shares in the business.

Daniel Milnes, of Forbes Solicitors, advised the management team on the buy out, while Debbie King from the corporate department of Farleys Solicitors advised the board.

Ashley Hayman, head of corporate finance at Cassons chartered accountants, Haslingen, who helped on the deal, added: “This was felt to be the best way forward as the company continues to grow in a highly competitive environment.

“James Hargreaves is now a major player and it can be very difficult to make certain decisions when you are accountable to shareholders who are not intimately involved with the company.”