Private equity group exits operator of 370-acre industrial centre

The owner of Hull’s Saltend Chemicals Park, px Group, has been acquired by its management and investors.

Private equity company, Bluewater, has sold px Group to the management team led by Geoff Holmes and backed by institutional investors Aksiom Services Group, a partnership between Ara Partners and the Aksiom Group, and px Group management.

Bluewater, alongside the management team and chairman Chris Picotte, acquired px in 2016.

In 2018, it led the complex carve-out acquisition of Saltend Chemicals Park from BP, transforming px into the sole owner and operator of the 370-acre industrial centre.

Saltend has since become the home of Equinor’s H2H Saltend, a landmark project that will create one of the UK’s first blue hydrogen plants and the world’s first decarbonised chemicals park.

Saltend has also attracted new site tenants such as Pensana, which support the renewables industry.

During its ownership of px, Bluewater has overseen 27% average annual growth, a near trebling of turnover, highly cash generative operations, and a seven-fold increase in EBITDA, from about £2m the year before acquisition to over £15m in 2021.

Despite the Covid-19 pandemic and lockdowns, px and Bluewater delivered EBITDA growth of more than 15% this year.

Graeme Sword, founding partner at Bluewater, said: “This is a great example of the benefits private equity can bring to both companies and investors.

“Our strategy was buy-and-build, and in five years our investment has more than trebled.

“In the same period, we have transformed the company to a leader in energy transition by using our network to supplement the management team and drive growth both organically and via acquisition.

“I am pleased that this growth has been achieved during one of the most challenging economic climates in memory, impacted by the Coronavirus pandemic.

“We implemented a diversification of contracted revenue streams and expertise at the company, which helped it to weather the storm. I’m delighted it has been a successful exit in line with our targets.

“px is now well-positioned as the market leader to capitalise on the energy transition in the UK and Europe.

“Bluewater wishes the company, CEO Geoff Holmes, and their talented workforce well for what will be a bright future under the new ownership.”

Holmes added: “From a company perspective, working with Bluewater has really demonstrated the advantages of private equity.

“We can move fast and take a longer-term view, without being fixated on quarterly results.

“The Bluewater team provided invaluable strategic oversight, sector understanding and support throughout our journey.

“px is now in great shape and well-positioned for future growth across energy, industrials, and the energy transition.”