Trio of investors snap up Woodall Nicholson Group
THE Woodall Nicholson Group, one of the UK’s oldest coachbuilding businesses, has been acquired by three Manchester investors.
Mosaic Private Equity, RooGreen Ventures and Enterprise Ventures are said to have made a “significant investment” in the business, which has a turnover of £24m and employs 180 people at factories in Westhoughton, near Bolton, and Rochdale.
The value of the deal was not disclosed.
Woodall Nicholson, which incorporates Coleman Milne, Mellor Coachcraft and Mellor Vancraft, manufactures and sells funeral vehicles, buses and specialist vehicles for the emergency services. Its history dates back to the 1820s when it built horse-drawn hansom cabs and carriages.
The buyout has brought together a group of dealmakers who all worked together on the 2004 acquisition of Scarborough-based Plaxton Coachbuilders in 2004. It involved Brian Davidson and Warwick Ley of RooGreen, Mosaic’s Paul Newton and Mike Rogan, and Jonathan Diggines of Enterprise Ventures.
As part of the deal, Geoff Hudson, who has been with the business for over 30 years and is currently group sales director, becomes managing director, while his two colleagues and co-shareholders, Paul Thompson and David Crowther, will retire from the business.
Paul Newton said: “We have been tracking this business for some time now and as soon as the opportunity opened up we contacted Brian, given our friendship and positive experience with him in the sector.
“We are delighted to have brought together an innovative funding model and a high calibre team of managers and investors to complete the deal. This speaks volumes for the quality of the Woodall Nicholson business and reinforces our mantra that it’s not just the money, but the people that make the difference.”
Mr Davidson, a turnaround specialist, said: “This is a bit of a departure from my normal transactions in that we have invested in a business which is already performing extremely well and has been well managed. I am hopeful that we can make the business even better and use it as a launch pad to grow a larger scale automotive business.”
Mr Davidson will become chairman, while Mr Newton, Mike Rogan and Warwick Ley will join the board as non-executive directors. Also joining the management team as group finance director is Dan Jackson, formerly corporate finance partner at Langtons Chartered Accountants.
The deal was supported by a finance package including senior debt and working capital facilities arranged by Paul Thomas and Steve Alcock at the company’s incumbent bankers, NatWest. John Daly of RSM Tenon advised the vendors, while his colleague Stephen Green provided due diligence. Jonathan Robinson of DWF provided legal advice to the investors, while Chris Moss of JMW Solicitors advised the vendors. Tim Fearn and Andy Phillips of Pinsents advised Enterprise Ventures and Rob Fawke of Pannone advised the bank. Tax advice for was provided by Steve Talbot of Langtons.
