Denman Group, a provider of refrigeration installation and facilities maintenance to retailers has been bought by its commercial director David Weaver for an undisclosed sum.

Denman Group, a provider of refrigeration installation and facilities maintenance to retailers has been bought by its commercial director David Weaver for an undisclosed sum.

Weaver took over the role of group managing director from Mark Denton who has left the company, but will continue to provide business support on a consultancy basis. Moving into 2008, Weaver aims to grow the business and develop its service framework.

Denman turned over £50 million in the last financial year. Weaver said: “This purchase will not in any way adversely affect the service we provide and indeed, as part of a continual improvement process, I will be driving the business to review and improve our service delivery models.”

The buy-out was supported by Grant Thornton who provided lead advisory services to Weaver. Led by M&A director Rupert Rawcliffe, Grant Thornton project managed the transaction, negotiated the price, terms of the deal and approached a number of carefully selected sources of finance to fund the buy-out.

“Structuring the deal to make sure it met with the vendors’ requirements whilst ensuring the business’ working capital needs were not stretched in a rapidly growing business were key to the success of the transaction,” said Rawcliffe.

Rawcliffe added that the firm is a long-standing business adviser to Weaver and it was a natural extension of its services to assist with the buy-out.

Legal adviser to the vendors was Shadbolt & Co LLP. Corporate lead partner Caroline Abrey said: “The vendors had built up a successful business in the commercial refrigeration and air-conditioning market. This was a well-timed opportunity for Denman to approach the next stage of its growth and development under new management.

“Aligning the interests of the vendors; one was leaving Denman’s employment after completion and two were remaining employees, proved to be an interesting and challenging aspect of the transaction. The deal was helped by the constructive approach taken by the lawyers and accountants for both parties.”

The ASB Law team, led by corporate finance partner Karen Lord, acted as the legal adviser to Weaver. ASB Law had been introduced to their client by Grant Thornton who acted as corporate finance adviser. The deal involved substantial input from a multi-disciplinary team involving employment and pensions, commercial and property services including construction specialists. The transaction was completed within strict deadlines.

Since joining the group in April 2006, Weaver has focused on strategic and operational issues as well as managing the support services for the group’s two main divisions: Denman Contracting and Denman Facilities Management.

The group has 300 employees across its three offices located near Gatwick, in Manchester and Sunderland.