151 Products targets £100m sales goal

A FAMILY-owned manufacturer and supplier of branded household, DIY and car care products is looking to grow to a £100m turnover business in the next five years.

Manchester-based 151 Products, which is owned by the Shonn family – father Steven is chairman and son Richard is managing director – says it is on the look out for acquisition to help deliver is ambitious goals.

Richard Shonn, 34, told TheBusinessDesk.com that the company would consider selling a stake to a private equity house – if it was appropriate.

“We’re well funded and we have a very good relationship with our bank, HSBC, so we would fund acquisitions that way, but if the deal was right, we would of course look at private equity.”

151 Products was spun out of the family cash and carry business, Shonn Brothers – it takes its name from 151 Great Ducie Street in Manchester where the company was initially located.

The company supplies a number of retailers, particularly at the fast-growing discount section of the market – with Poundland, B&M Bargains and Home Bargains – among its customers.

Mr Shonn said: “We’re seeing strong year-on-year growth as demand or our products grows as our customers add new stores.”
 
It has 100 staff in the North West at two sites. In Manchester there is the head office and research lab, while it has a 200,000sq ft warehouse in St Helens. 151 also has an office in Hong Kong.

Last year turnover rose from £24m to £29m and it should reach £35m this year.

Mr Shonn said: “We think £100m is a not unrealistic target  – we’ve seen good growth riding on the discount retail wave.

“We’re also looking for acquisitions of like-minded businesses, which will help us to grow – we’re a young and ambitious team.”

He believes that despite the tough retail environment 151 Products is well-placed o thrive: “It is a challenging time, but because we sell low value products – £1 to £2 – we see continued growth in this market.”

The company has been building the profile of one of its brands recently – a high power adhesive called ‘151 Hard as Nails’ – which it has advertised on perimeter boards at high profile televised Premiership football matches.