Manchester Lloyds team funds Snow+Rock MBO
THE Manchester office of Lloyds TSB Corporate Markets Acquisition Finance has funded a management buyout at the outdoor equipment chain Snow+Rock.
LGV Capital, the private equity arm of the Legal & General has backed managers at the Bristol-based firm who have bought it from Andrew Brownsword.
Mr Brownsword, who has owned the business for the last six years, made a fortune in the 1990s after selling his Forever Friends greetings cards business for £165m.
Acting as lead arranger, Lloyds provided senior term debt, a revolving credit facility and a capital expenditure facility. The funding package was structured to accommodate the Bristol-based business’s ongoing growth strategy, which includes a store roll-out programme.
Managing director Dion Taylor said: “With the support of LGV we have developed a roll out plan which will bring our brands to a wider audience, whilst staying true to our principles of providing premium retail environments along with unrivalled customer service and the best products available.”
Founded in 1982, Snow+Rock sells equipment for winter sports, cycling and running. It has three businesses – Snow+Rock, Cycle Surgery and Runners Need, and together has 35 shops including two in south Manchester.
Neil Price, director of Lloyds TSB Corporate Markets in Manchester, said: “The total outdoor, winter sports and cycle markets are worth around £3bn a year and have grown by 17% since 2006.
“Combining a number of specialist sporting activities in one group allows the Snow+Rock Group to occupy a unique position in the outdoor activity market and the business has built up a reputation for premium products, technical knowledge and first-rate service.
Martin O’Shea at law firm Addleshaw Goddard in Manchester advised Lloyds on the deal.
