Blaze Signs Holdings, a Kent manufacturer and installer of illuminated signs for financial institutions and major retailers, has received a second tranche of funding from Matrix Private Equity Partners and debt from Lloyds TSB Corporate Markets to buy Active Sign Maintenance.

Blaze Signs Holdings, a Kent manufacturer and installer of illuminated signs for financial institutions and major retailers, has received a second tranche of funding from Matrix Private Equity Partners and debt from Lloyds TSB Corporate Markets to buy Active Sign Maintenance.

The acquisition of complementary business Active Sign Maintenance will enable the enlarged group to offer its clients a one-stop shop package of manufacturing, installation and maintenance of illuminated signs. Blaze Sign’s client list includes Tesco, Sainsbury’s Royal Bank of Scotland and Euro Disney.

Matrix first backed the Blaze management team in April 2006 when the equity firm invested £1.6 million in their £5 million secondary buy-out of Blaze from Dunedin Capital Partners.

Partners Eric Tung and Jonathan Gregory led the deal for Matrix, with Tung becoming a non-executive director of Blaze. Tung said: “Blaze exceeded all our expectations in the first year; a reflection of the quality of its management team. When such a complementary market leading business presented itself, we had no hesitation in providing acquisition advice and further financial support.”

Lloyds TSB Corporate Markets provided debt finance to Blaze Signs by way of a new revolving credit facility to the company. The debt funding was led by Adrian Peckham for Lloyds TSB Corporate Acquisition.

The transaction has combined the two Kent-based businesses, each with a solid reputation in its market. Active Sign Maintenance customers include B&Q, Halifax Bank of Scotland, Marks & Spencer and Sainsbury’s.

The new business will be consolidated on to Blaze’s existing site in Broadstairs, but there will be no job losses. Managing director Phil Sharman will continue to run Active Sign Maintenance and join the Blaze Board.

PBD Consulting carried out the commercial due diligence on Active Signs. The project was led by director Lisa Whelan with support from consultant Oliver Meyers.

Legal adviser Rawlison Butler LLP acted for Lloyds TSB Corporate Markets in the transaction. The legal team was led by head of corporate Tim Sadka and supported by assistant solicitor Richard James.

Sadka said: “We are delighted to have acted once again for Lloyds TSB Corporate Markets in relation to the deal. Given our understanding of Blaze’s existing structure and finance arrangements, having acted for Lloyds TSB Corporate Markets in relation to the MBO of Blaze in April last year, we were able to move quickly in relation to the present transaction.

“We provided timely and effective support to the bank in relation to their continued support to Blaze and their management team,” he added.

The enlarged group’s combined annual turnover is £20 million with 260 employees.