The management team of Winder Power has led a management buy-out of the power distribution and generation equipment manufacturer.
Leeds-based Winder Power has teamed up with Enterprise Ventures and Bank of Ireland UK to complete a buy-out.
The management buy-out (MBO) provides an exit for outgoing executive chairman Richard Asquith and YFM Equity Partners, a firm which backed an initial Asquith-led MBO in 2005.
The new £6 million deal also sees new chairman Harry McCracken, former group managing director of Viridian Power & Energy, join the business.
Winder Power currently employs 100 people across its two divisions which specialise in the design and manufacture of power and distribution transformers for use on electricity networks. It also supplies generation equipment for sectors including marine, rail and aviation.
The management team leading the deal includes managing director Laurence MacKenzie, operations director Andy Pinkney, general manager Paul Matthews and finance director Jo Evans. Both Pinkney and Matthews were already shareholders in the business.
MacKenzie comments, ‘This is a significant transaction for the MBO team and underscores our own commitment to the business.
‘Both Enterprise Ventures and Bank of Ireland were thoroughly professional and supportive right throughout the transaction; we look forward to working with them in the future.’
Through the MBO, YFM Equity Partners has netted a reported 5.7x return on its original 2005 investment. Nigel Owens, portfolio director YFM Equity Partners, adds, ‘[The firm] has worked closely with Richard and the management team to help the business transform its growth prospects, increase employees by over 50 per cent and win significant export contracts.’