Deals round-up: Convex Capital; Turner Parkinson; Altium

Deals round-up: Convex Capital; Turner Parkinson; Altium
A round-up of the latest activity from the corporate finance community

MIKE Driver, a partner at Manchester-based corporate finance boutique Convex Capital, advised Birmingham-based electronic cigarettes company Nicocigs on its multi-million pound sale to Philip Morris International, the tobacco giant behind the Marlboro brand.

Convex said the sale of Nicocigs, which produces the Nicolites brand, was the largest deal of its type by value, and is understood to have been over £80m.

Although the terms of the deal were not disclosed Convex said it had completed 12 deals in the past 12 months with a total value of £455m. Convex earned a fee of £5.5m from the Nicocigs deal and is aiming for revenues of around £12m this year.

Mike Driver said: “This is the largest deal of its type to date by value in a rapidly growing sector. Nikhil Nathwani, the founder of Nicocigs is a fantastic example of a young entrepreneur. He identified the demand, secured a supplier and maintained an excellent relationship with them, and then built a major distribution network with more than 20,000 points of sale within the UK.

“Our approach is focused around helping entrepreneurs such as Nikhil secure maximum value for their businesses and we’re delighted to have done that with Nicocigs.

Mr Nathwani said: “Convex secured the very best deal we could have imagined, but more than that we had a huge amount of fun along the way.”
 
The team also included Tim Marlow, Charlie Yates and James Edge.

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COMMERCIAL law firm Turner Parkinson has made a strong start to the year with increasing confidence driving deal activity among clients.

The firm, one of the most prolific in the owner-managed business market, has acted on 38 transactions in the first six months worth more than
£185m.

The firm said it had seen deal volumes grew in the healthcare and TMT sectors, with consolidation key in both recruitment and travel.

Partner James Sheridan, who leads TP’s corporate group, said: “Compared to many of our competitors, we have a small team, but today’s business climate combined with our ability to provide big firm quality is presenting us with some good growth opportunities.

“We are growing our team and the offering of the firm as a whole.  The team recently completed five £5m+ deals in five weeks over June and our most recent addition David Easdown has supported our growth with additional client wins, whilst ranking second in the region individually for deals completed.”

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HOT on the heels on its work on the seconary buyout of Manchester internat company Metronet, investment bank Altium acted for Nottinghamshire-based green energy business Monsal on its sale to US giant General Electric.

Monsal is an advanced anaerobic digestion and integrated biogas-to-energy businesses. It provides technology to treat biosolids and biowaste, and convert it into renewable energy and saleable byproducts.
Altium’s specialist renewables sector team advised Monsal and shareholders on the sale, led by managing director Adrian Reed and assistant director Adam Sivner. 
 
Mr Reed said:”Having advised Monsal on its 2010 investment by Hong Kong-based FourWinds Capital we are delighted to have led the process in finding the perfect fit for the business.”

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