A Hampshire-based baby food manufacturer is to develop its business after securing a seven-figure investment.
A Hampshire-based baby food manufacturer is to develop its business after securing a seven-figure investment.
Plum Baby, which was founded by Susie Willis in 2004, received £1.5 million from Noble Fund Managers Private Equity.
Noble was introduced to Plum Baby by Nucleus Capital and has taken an undisclosed minority shareholding in the company following the completion of the deal.
Willis said she would use the funding to introduce new lines to the company’s offering and recruit new staff.
Noble’s investment was arranged by Douglas Lawson, with support from Stéphane Méry and Gérard Tardy. Under the terms of the deal, Patrick Cairns, former of Unilever, joins as chief executive.
Willis told reporters that the investment will raise the business’ profit in the UK. “We needed to raise funds to start to create the legacy that Plum Baby wants to be remembered for – I want this to be fed to my grandchildren – so the hard work needs to be done now.”
Plum Baby was advised on the legal issues of the investment by Stephen Whitmore, head of commercial at Wilsons.
“The business has seen exponential growth since commencing trading and additional working capital was required to satisfy this growth and enable the firm to take advantage of market opportunities,” Whitmore said. “We have worked closely with Plum Baby since its conception and we look forward to the continuation of that process.”
Noble appointed PKF to manage a financial due diligence review of Plum Baby’s business.
PKF’s team was led from the firm’s Glasgow office by partner Graeme Cassells, who has worked on several similar transactions for the private equity provider.
Cassells said the deal was completed to a tight timetable. “The company has shown impressive growth and development in the short time since its inception and this funding will enable it to move into its next phase of development.”
Plum Baby’s products can be bought at national retailers, such as Boots, Ocado, Tesco, Sainsbury’s and Waitrose.
