LDC takes £12m stake in events firm WRG
PRIVATE equity firm LDC has taken a £12m stake in Manchester-based live events firm WRG Creative Communications.
WRG, which in the year to the end of October 2010 made a profit of £1.4m on turnover of £38.7m, produced and delivered headline-making events such as the G20 Summit in 2009 and the 2010 Papal visit.
Former ITV chairman and BBC Director General Lord Michael Grade has been appointed to the company’s board as part of the deal.
WRG has 110 staff offices in London, High Wycombe, New York and Qatar.
As part of the deal LDC has pledged further “significant follow-on funding” to support WRG’s buy-and-build strategy and further international expansion.
WRG specialises in product launches, summits, ceremonies, live broadcasts, bespoke installations and marketing services, including creative design, branding consultancy, web-services and film and digital services.
WRG chief executive Barry Day said: “High demand for our differentiated, experiential communications offering has seen us quickly grow into a niche, global business, supporting the marketing ambitions of some of the world’s largest brands.
“Our commitment to creativity, enviable record of successful delivery and ambition to enter new and exciting overseas markets has been central to our success to date. LDC’s investment provides a platform to further expand both our suite of services and our geographical reach – particularly in the emerging key markets of central and eastern Asia.
“LDC has a strong track record of helping UK businesses deliver both successful buy and build and overseas growth strategies. They are the ideal strategic partner with which to achieve our ambitious growth plans.”
WRG has appointed Jim Faulds, founder of Scottish marketing firm The Faulds Group, as non-executive chairman and Lord Grade, as a non-executive director.
The transaction was led by investment directors Simon Braham and Jon Pickering of LDC.
Braham, who will join WRG’s board, commented: “WRG benefits from a highly experienced and passionate management team, which has generated impressive growth, attracted a portfolio of blue chip clients, and successfully integrated a number of acquisitions.
“Building on this success, we will support the company’s buy and build strategy and international expansion. We are confident that WRG can realise considerable growth over the coming years.”
Carl Wormald, head of LDC in the North West, added: “Our investment in WRG, as our third transaction in the region this year, stands to emphasise the global strength of North West corporates and our buyout market.
“We have a healthy pipeline of opportunities and remain optimistic for the outlook for the rest of the year.”
The Manchester office of Clearwater Corporate Finance advised LDC on the investment.
