UK mid-market specialist Gresham Private Equity has backed the secondary buy-out of Betts Global from Permira, Royal Bank of Scotland and Bank of Scotland in a deal totalling in excess of
UK mid-market specialist Gresham Private Equity has backed the secondary buy-out of Betts Global from Permira, Royal Bank of Scotland and Bank of Scotland in a deal totalling in excess of GBP110m.
Betts produces high-quality printed laminate toothpaste tubes and is supplier to some of the world’s leading toothpaste manufacturers such as Colgate Palmolive, GlaxoSmithKline, Procter & Gamble and Unilever.
Paul Bateman, formerly group operations director for Boots, has been appointed chairman of Betts. He brings considerable experience to the current management team having previously been responsible for Boots’ manufacturing, HR, supply chain and logistics and IT systems.
Bateman previously worked for Procter & Gamble, where he was responsible for global home care product supply. Betts has been manufacturing packaging products for more than 150 years and has more than 1,300 employees at 14 sites in Brazil, China, India, Indonesia, Mexico, Poland, the UK and the US.
According to Gresham, the global market for laminate tubes is growing, with demand in emerging markets being particularly strong. It says the deal will provide Betts with significant capital to develop the business and seize opportunities to expand its capabilities into the personal care market and new market segments.
Christian Bruning, a partner at Gresham who led the deal and has joined the Betts board, says: ‘The management team at Betts has a real focus on customer service, quality and innovation, and with the additional investment we are bringing, the business is well positioned to support its customers and capitalise on future growth opportunities.’
Bateman adds: ‘Our business is well poised for further growth in our market. The support and financial firepower of Gresham Private Equity will enable us to invest in our manufacturing facilities. This will provide the resource and capability to continue to meet our customer’s needs and undertake further expansion in the future.’
Anthony Gahan of Wyvern Partners was lead adviser to Gresham on the transaction, while CIT Capital Finance arranged and underwrote the GBP75m of debt facilities and Ernst & Young advised the vendors. Gresham’s James Barbour-Smith will also join the Betts board.
Gresham, which has offices in London, Birmingham and Manchester, specialises in UK mid-market management buy-out deals typically valued up to around GBP100m. The firm has expertise in the business and support services, consumer, financial services, healthcare and pharmaceuticals and industrial products sectors. Recent Gresham industrial sector deals include Esterform, Olaer and Altair.
