Matrix Private Equity Partners has realised 2.6 times its investment through the sale of its shareholding in Ruskin Homes, achieving a 25 per cent IRR over the investor’s five year holding period.
Matrix Private Equity Partners has realised 2.6 times its investment through the sale of its shareholding in Ruskin Homes, achieving a 25 per cent IRR over the investor’s five year holding period.
Caterham-based Ruskin is a specialist in the development of flats and housing on brownfield sites. Matrix’s exit was through a share buyback by chief executive Garry Hall and finance director Ross McEwan.
Matrix first invested £3 million in 2002 for a 43 per cent stake in the business, partly enabling the management buy-out from the company’s founder shareholders. Since then, Ruskin has gradually expanded its area of operations outside London and the South East and profits have grown with EBITDA more than tripling from £1.2 million to £3.8 million. Sales have grown 35 per cent from £14 million to £19 million.
Management approached Matrix earlier in 2007 with the proposed buyback. The original £13 million deal was supported by debt provided by Royal Bank of Scotland.
