Olympic goal for Laver after MBI deal
THE management buy-in of Yorkshire-based timber to property firm Arnold Laver will spark “exciting” times for the group which is aiming to win a contract to supply the 2012 Olympics.
After acquiring the firm in one of the largest management buy-ins (MBI) seen in the UK this year, managing director Andrew Laver said that he wants to see the business taken “to its full potential”.
Mr Laver, the grandson of founder Arnold Laver, bought the company yesterday supported by finance director Mark Bower, MBI candidate Nigel Petrie and debt finance from Yorkshire Bank.
It represented the end of a three-year process which culminated in the sale of the business by the family trust that owned it.
Now Mr Laver wants to concentrate on developing the group's core divisions of timber and property.
Its Timberworld timber merchants operation has £100m turnover while the growing property side has carried out a number of developments in Yorkshire.
“In February we open a new depot in Rainham in Essex. We know the Olympic Delivery Authority require a squeaky-clean supply chain and sustainable products and if we are lucky enough to supply the Olympics then our Rainham depot will be the culmination of two years of work.”
Mr Laver said that there were still areas of the country where Arnold Laver Timberworld depots could be added.
“In terms of property deals we also have some exciting things down the road,
He said that the sale of the business by the trust would now allow it to focus on key long-term goals.
“The trust's goals and aspirations are slightly more short-term than that of somebody who is building a business. In the last 10 years the business has trebled in size, we have moved outside Yorkshire. There are still places on the map where we don't have a strong enough presence. At times it is essential to move quickly, to be owned by a trust doesn't make you fleet of foot.
The company was founded by Arnold Laver in 1920 and now employs 800 staff in 16 branches across the country including eight locations in Yorkshire.
The transaction, structured by Deloitte, saw the business returned to family ownership.
Mike Selina of Yorkshire Bank arranged the bank financing for the deal.
A corporate finance team from Deloitte led by Maghsoud Einollahi, Paul Trickett and Richard Ibbett, advised the management team and managed the transaction process.
Cobbetts, led by Patrick Mitchell provided legal advice to the management team, with financial due diligence support from Mark Lister and Andrew Ryder of PKF.
Mr Laver praised the role of Yorkshire Bank in the deal.
“They have been absolutely incredible in this process. Throughout we were dealing with the same people at Yorkshire Bank whereas at other banks the individuals can change two or three times.
“When you talk about relationship banking for Yorkshire Bank there has to be a huge tick mark,” he added.
