ABN AMRO Capital, the private equity business of ABN AMRO, has agreed to acquire a majority stake in OyezStraker Group Holdings Limited from funds managed by Hermes Private Equity, for GBP
ABN AMRO Capital, the private equity business of ABN AMRO, has agreed to acquire a majority stake in OyezStraker Group Holdings Limited from funds managed by Hermes Private Equity, for GBP 163 million.
ABN AMRO Capital will invest GBP 41.2 million to take a majority stake in the business. Hermes Private Equity will reinvest GBP 7.8 million alongside ABN AMRO Capital, with management also making a substantial reinvestment. The transaction, which is expected to complete in June 2007 subject to regulatory approvals, values the business at GBP 163 million. Debt funding will be provided by RBS.
OyezStraker is the UK’s largest independent office supplies distributor, with a turnover of GBP 190 million. It is the market leading supplier to the UK legal and professional services sector. OyezStraker’s comprehensive range of products includes office supplies, print, furniture and specialist business services, including software for legal forms, archival storage and Home Information Packs. With its head office in Croydon, the company has 14 warehouses and 18 sales depots, giving a highly personal local service across the UK. This enables the business to respond rapidly to its customer base of over 25,000 firms. OyezStraker employs 1,150 people across the UK.
Since 2004, OyezStraker has achieved an annual turnover growth of c16% per annum through organic growth and acquisitions such as Whitegrove, Lynch McQueen, Office Zone, File and Data, Dudley Inkwell and Office Expert. These acquisitions add further strength to the existing well-known brands of OyezStraker Office Supplies, Oyez Professional Services and Stat Plus.
Andrew Moye, Paul Moxon and Grant Paul-Florence coordinated the investment on behalf of ABN AMRO Capital. Andrew Moye and Paul Moxon will join the board of OyezStraker as non-executive directors.
Paul Southwell, Managing Partner of ABN AMRO Capital’s UK buyout team, said: ‘OyezStraker has a strong market position, a good record of organic growth and a proven acquisition plan. We look forward to supporting Jeff Whiteway and his team in their growth strategy. 2007 is proving to be a very successful year for ABN AMRO Capital, with five deals completed across Europe already. We are committed to continuing to source exciting opportunities in sectors with strong growth prospects.’
Jeff Whiteway, Group CEO of OyezStraker, said: ‘We are very pleased to have secured ABN AMRO Capital’s backing and look forward to a successful partnership. ABN AMRO Capital shares our vision for the development of OyezStraker and is highly supportive of our growth plans. We are very optimistic about our prospects for the future.’
Justin Ward, Director of Hermes Private Equity, said: ‘Over the last three years, OyezStraker has enhanced its position as market leader for the provision of office supplies and specialist business services to the UK’s legal and professional services. It has grown strongly since our acquisition and we believe it has an excellent future. We are delighted to continue our involvement with a reinvestment of GBP 7.8 million alongside ABN AMRO Capital.’
