Catering company Waterfall Services, which trades as Cater Plus Services, has been acquired in a management buy-in backed by YFM Private Equity and Clydesdale Bank.

Catering company Waterfall Services, which trades as Cater Plus Services, has been acquired in a management buy-in backed by YFM Private Equity and Clydesdale Bank.

The management team was led by entrepreneur Jim Lovett, previously operations director at Sodexho Healthcare. Lovett will become managing director of Waterfall and is joined by chairman Vince Pearson. Other members of the buy-in team include Ian Clementson, Tony Barrett, David Pollak and Gary Palmer.

Watford-based Waterfall, which employs more than 500 people, provides services such as catering, housekeeping and consultancy to care homes, shelters and schools in the south of England.

The company, which was founded in 1991, made a pre-tax profit of about £749,000 for the year ended March 2006, compared with some £682,760 for the previous year. It is now looking to open a satellite office in Crewe and expand into other areas of the UK, particularly the north west

The deal was structured by McInnes Corporate Finance. Pinsent Masons acted for the management team.