Oliver Kay, a fruit and vegetable distributor, has been bought by a team of its managers led by the company’s eponymous founder. The buy-out team was backed in the £17 million deal by private equity firm Aberdeen Asset Managers Growth Capital.

Oliver Kay, a fruit and vegetable distributor, has been bought by a team of its managers led by the company’s eponymous founder. The buy-out team was backed in the £17 million deal by private equity firm Aberdeen Asset Managers Growth Capital.

Aberdeen has taken an undisclosed minority shareholding in the business following its £3 million investment, which was co-ordinated by Andrew Craig and Jonty Hall. The remaining shares are held by the management team, led by Kay, who established the business in 1989.

Prior to the buy-out, the vendors were Kay and director Tony McDonald, a local businessman who backed a buy-in at the company three years ago when he took a 50 per cent holding of the company’s shares.

Aberdeen and the buy-out team’s investments were supported by debt and working capital provided by Yorkshire Bank. Post-completion, Aberdeen has introduced food industry specialist Mark Swanwick to the company’s board as chairman.

The Bolton-based company has more than 100 employees delivering fruit, vegetables, delicatessen, dairy and morning goods to some 500 customers including hotels, restaurants and public houses.

In the year to September 2005 the company had an operating profit of £2.3 million from a £16 million turnover.