Maven leads the £11m MBO of interior fit-out contractor EE Smith
Maven has led the £11 million management buyout (MBO) of EE Smith Contracts (EES). The Leicester based business is a specialist interior contractor and joinery manufacturer, for prestige commercial and residential projects, employing around 150 people.
Established in 1897, EES has been under the ownership of the Richardson family since 1947 and this transaction has allowed the current management team to acquire the business alongside Maven.
EES operates across all sectors in the luxury interior refurbishment and joinery market. The business focuses on fitting out prime residential and commercial properties including government buildings, embassies, bars, clubs, hotels, restaurants, offices and homes/apartments.
EES is projected to turn over £35 million this year, buoyed by a growing commercial construction sector and recent hotel contract wins, as well as diversifying into the London super prime residential market which has benefitted from a steady flow of foreign capital.
Its in-house operations, controlled from a specialist 80,000 sq ft manufacturing facility, cover all aspects of planning, design and project management, alongside the provision of full joinery and metalwork services. The breadth of its service offering allows EES total project control ensuring timely delivery of projects and a high quality of service.
Additionally, EES also owns Clarendon Fabrications, a solid surface manufacturer operating in both domestic and commercial markets supplying a variety of kitchen, bathroom and commercial applications. The funding from Maven will allow the group to maintain its impressive growth and continue its geographical expansion, both in the UK and overseas; in particularly Germany and the Middle East.
The transaction was funded by Maven Investor Partners, a syndicate of institutional and high net worth investors, some of whom have been working in partnership with the Maven team since 2006. Following the recent introduction of new legislation aimed at ensuring that the UK complies with EU State Aid rules, VCTs are now prevented from supporting acquisition based transactions, and consequently the Maven VCTs did not participate in this new investment.
“The deal represents an excellent outcome for Maven Investor Partners who have invested in a truly market leading business. EE Smith Contracts has a strong pipeline of committed contracts and continues to lead the competitive field based on their reputation for the highest levels of product and dependability in project delivery. We are very pleased to see the existing management team taking a significant equity stake, with a clear strategy to drive the business forwards.”
Andrew Ferguson, Partner at Maven
“These are exciting times for the management team and the business as a whole, and we are delighted to have the support of Maven Capital Partners in the coming years as we strive to continue growth and improvement in this unique business.”
Neil Bottrill, Managing Director at EE Smith