Peter Cox to build independent future after Restore deal
NORTH West building repair services group Peter Cox has been sold by listed company Restore for £3.6m.
The Chadderton company, a leader in damp proofing, waterproofing, timber preservation and wall stabilisation, has been bought by a business, Castlefield House, which is controlled by Harvey Samson, who was Restore’s finance director until June this year.
AIM-listed Restore said the disposal is consistent with its strategy of focusing solely on office services, where it is now market leader in office relocations and number three in records management.
It added that the net proceeds from the disposal will be used to reduce debt and fund further bolt-on acquisitions in office services.
Under the terms of the deal, Restore received £2.2m at completion and will receive a further £500,000 at the year end.
Three further payments of £300,000 each will be made in September 2013, 2014 and 2015. There are no performance criteria related to the deferred payments.
In the year to December 2011, Peter Cox, which is based at the Broadway Business Park, recorded profit before tax of £800,000 on turnover of £15.2m. Net assets at completion were £1.4m.
Charles Skinner, chief executive of Restore said: “The divestment of Peter Cox has been a strategic goal for some time. It has become an increasingly strong business over the last two years, but it did not fit with the rest of our activities.
“Its disposal completes the restructuring of the group, and leaves Restore solely focused on office services, where we continue to make good progress. I expect Peter Cox to thrive as an independent business and wish Harvey and his team the very best for the future.”
David Bowcock, a corporate partner at North West law firm Brabners Chaffe Street advised Restore on the deal.
