MML Hands Power to New Generation
July 2008
MML Capital Partners (“MML”) has supported a £40m MBO of EIC, a leading UK provider of mechanical and electrical (M&E) services to the public and private sectors.
Livingstone advised the founding family shareholders on the sale of EIC and introduced MML (formerly Mezzanine Management) to the management team, led by Ian Lyall and Nigel Le Marechal. Senior debt was provided by The Royal Bank of Scotland.
EIC is headquartered in Alcester in the West Midlands, operates eight regional offices throughout England and Scotland, and employs over 600 skilled staff. Founded in 1971, the Company has become an established provider of M&E services and test and maintenance solutions to household names such as Tesco, Marks & Spencer and Enterprise Inns. EIC generated revenues of £74.3m in 2007.
The buy-out will bring about a simplified ownership structure and access to funds for further expansion in the UK. In addition, Chris Woodwark, the former CEO of Staveley Industries and the former Chairman of Rolls Royce and Bentley Motorcars, joins EIC as Chairman.
The MBO represents an ideal exit solution for its previous family owners. The family have managed to realise a significant amount of capital from their long term investment, but the company remains independent and will continue to be owned and managed by the sons of the founders.
Phillip McCreanor, the Livingstone partner who led the deal said: “We enjoy working with family owned businesses and assisting them to realise their objectives, and our experience has stood us good stead in achieving this result for EIC’s shareholders. This deal has allowed Ian and Nigel to stay involved in the company while restructuring the shareholder base to facilitate the exciting growth plans of the management team.”
For further information contact:
Phillip McCreanor
T: 020 7484 4725
E: pmccreanor@livingstonepartners.co.uk
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