Birmingham advisers help seal the deal for Homelux

A TEAM of Birmingham-based advisers have led the multi-million pound disposal of major tile accessory distributor, Homelux Ltd while also completing the secondary buy-out of Nenplas Ltd, a plastic extrusion manufacturer.

Both companies, based in Ashbourne, were backed by Maven Capital Partners and had bank facilities from Yorkshire Bank.

The deal was led by Birmingham-based Orbis Partners and SGH Martineau, which provided legal advice. Both firms have worked with Homelux Nenplas over the past seven years.

Orbis Partners supported the firms with its own investment into the equity of the business while advising on a management buy-out in 2006. Tile Accessories, a leading distributor to the independent market, was added a few years later, taking the group close to a turnover of £20m.

Homelux, which has a product portfolio that includes extruded plastic and metal tile trims, was sold to QEP in a deal that sees the manufacturing arm, Nenplas, remain with management and Maven Capital Partners.

Nenplas is headed up by Rob Butcher (Managing Director), Gary Horrobin (Operations Director), Richard Lumb (Finance Director) and Steve Jones (Sales Director). The entire Nenplas team will continue in their existing roles.

Maven Capital Partners remains a significant minority investor in the Nenplas business and has provided facilities to support the business with its acquisition strategy.

Gary Ecob, Partner at Orbis Partners who lead the deal, said: “I am delighted to have supported the Nenplas management team in this stage of their ambitious plans. Having worked alongside them for nearly a decade, it is incredibly satisfying to conclude this transaction with them successfully, creating a further significant opportunity once again.”

Mr Butcher added: “The deal will allow Nenplas to flourish going forward, with the building blocks in place to become the UK’s leading plastic extruder.”

Richard Wrigley, partner and head of corporate at SGH Martineau, said: “Having acted for the management team for many years, including the original MBO of Homelux Nenplas in 2006, we are delighted to help with the demerger of the group to allow the sale of Homelux and enable the management team to focus on growing Nenplas.”

Other advisers were Gateley, which provided legal services to Yorkshire Bank and Cooper Parry, which provided financial due diligence.