The purchaser is the newly formed Gresley Group who will focus on acquisitions in the manufacturing and engineering sectors. The Gresley team, bringing significant expertise to grow APG, includes Terry Scuoler, Mark Patton (pictured above), Michael Clough, Robert Green and David Dimloe. Colin Florey (pictured above) will remain involved for 6-12 months along with General Manager, Chris Ellis, and Works Manager, Tim Barkway.
APG is intended to be the first of a series of acquisitions that Gresley anticipate to make, with an interest in supply chain industries especially in areas such as, low carbon technologies, digital process engineering, additive manufacturing, composite materials, autonomous systems, specialist engineering and robotics, all of which offer high growth opportunities.
Mark Patton, Founding Executive Director at Gresley Group said, “Our focus is on business leaders, who are looking to divest and searching for an exit strategy. We will only acquire companies that are cash flow positive and where we believe we can add real value, taking a thoughtful and collaborative approach, working with the vendor to understand their personal ambitions and requirements, putting a transaction in place to accommodate both. Ultimately, for any business transformation to be successful people and skills remain the vital components.
Our shift will be towards a service-orientated business model. Areas we look to improve will include the supply chain, workforce engagement, productivity and customer experience. With efficiency, effectiveness and productivity in mind, Gresley Group will be using technology for the efficiency it brings and ultimately the value it can deliver.
“SME Capital has shown flexibility in their finance structure to accommodate strong acquisition offers.”
– Mark Patton, Founding Executive Director at Gresley Group
SME Capital has shown a keen interest in supporting Gresley groups initial acquisitions, showing flexibility in their finance structure to accommodate strong acquisition offers.”
Karl Hodson, Partner at BTG Advisory said, “We were immediately impressed with the experience and expertise within the Gresley team and believe they have a great strategy to build a successful group of companies. We were delighted to be able to introduce SME Capital as we felt they would be the ideal funding partner for Gresley as they embark on the journey of acquisitions.”
SME Capital have agreed a loan of £1.45m to fund the acquisition. Working closely with the team we were able to provide a bespoke 5 year funding structure, including a 6 month capital repayment holiday, and 25% lump sum bullet to allow time for the Gresley team to digest the acquisition and ease cashflow in the early months.
Stuart Watson, Regional Director at SME Capital said, “The management team at Gresley have the right sector experience to further develop this longstanding and respected niche engineering company. We look forward to continued success for APG and working with Gresley again over the course of the venture lifecycle.”
If you would like to discuss acquisitions in more detail or our wider funding capabilities do get in touch.
