Limerston Capital has completed its exit of Arch Sciences Group (Arch Sciences), a provider of outsourced analytical solutions to the laboratory research and testing sector, following its sale to Element Materials Technology Group (Element).
The sale realised a return for Limerston Capital in excess of 30 per cent IRR.
Manchester-headquartered Arch Sciences operates across five locations and three countries providing outsourced analytical services and solutions to the laboratory research and testing sector. Since Limerston Capital’s investment in 2017, the company delivered on an ambitious organic growth strategy, significant investment programme including the move to a new larger laboratory in Manchester and three successful strategic acquisitions in the US, Ireland and the UK. The group currently employs over 170 full time employees of which c20 per cent attained at least PhD level qualifications.
Element is a global provider of testing, inspection and certification services, with more than 6,000 experts in over 200 laboratories across five continents. Element helps customers make certain that their products, materials, processes and services are safe, compliant and fit for purpose.
Martim Avillez, Limerston Capital Founding Partner, says: “Arch Sciences has benefited from our investment to leverage its analytical know-how, customer service and strong culture and create the leading business in its niche. It has been a real pleasure working with Scott and the talented management team over the past three years. We wish the Arch Sciences management and Element every success in this next step of the journey.”
Jo Wetz, Element CEO, says: “Arch Sciences is our seventh acquisition of 2021 and creates a strong platform to expand the pharmaceuticals segment of our life sciences business in Europe. Element is rapidly developing its position as a full-service solutions provider to the life sciences sector, which is now the most significant end market for the Element Group.”
Weil, Gotshal & Manges (James MacArthur, Candice Lambeth and Lennard Ong) acted as legal advisers in the transaction.
