Member Article

Woodall Nicholson bought by investor group

Bolton-based vehicle maker, Woodall Nicholson, has been acquired by a group of new investors.

Mosaic Private Equity, RooGreen Ventures LLP and Enterprise Ventures will each invest in the £24m turnover company, which has 180 employees at their factories in Westhoughton and Rochdale.

The company manufactures and sells funeral vehicles, buses and specialist emergency vehicles, and is made up of Coleman Milne, Mellor Coachcraft and Mellor Vancraft.

The deal will reunite investors and principals Brian Davidson, Paul Newton, Mike Rogan, Jonathan Diggines and Warwick Ley, who previously worked on the acquisition of Scarborough-based Plaxton Coachbuilders in 2004.

Group sales director, Geoff Hudson, will become managing director at the firm, while while his two colleagues and co-shareholders will retire from the business.

Paul Newton, who co-led the deal with Mike Rogan on behalf of Mosaic Equity, commented: “We have been tracking this business for some time now and as soon as the opportunity opened up we contacted Brian, given our friendship and positive experience with him in the sector.

“We are delighted to have brought together an innovative funding model and a high calibre team of managers and investors to complete the deal.

“This speaks volumes for the quality of the Woodall Nicholson business and reinforces our mantra that it’s not just the money, but the people that make the difference.”

Brian Davidson from RooGreen Ventures will become chairman, while Paul Newton and Mike Rogan of Mosaic Private Equity and Warwick Ley of RooGreen Ventures will join the Board as non-executive directors.

Mr Davidson commented: “This is a bit of a departure from my normal transactions in that we have invested in a business which is already performing extremely well and has been well managed.

“I am hopeful that we can make the business even better and use it as a launch pad to grow a larger-scale automotive business.”

Jonathan Diggines, managing director of Enterprise Ventures, added: “Enterprise Ventures is all about supporting business growth.

“We are delighted to be financing such an important North West manufacturing business, with a heritage dating back for almost two centuries and strong growth potential.”

Group Finance Director, Dan Jackson, formerly Corporate Finance Partner at Langton’s Chartered Accountants will also join the management team.

The deal was supported by a finance package including senior debt and working capital facilities arranged by Paul Thomas and Steve Alcock at the company’s incumbent bankers, NatWest.

John Daly of RSM Tenon advised the vendors, while his colleague Stephen Green provided vendor due diligence. Jonathan Robinson of DWF provided legal advice to the investors, while Chris Moss of JMW Solicitors advised the vendors, Tim Fearn and Andy Phillips of Pinsents advised Enterprise Ventures and RobFawke of Pannone advised the Bank.

This was posted in Bdaily's Members' News section by Miranda Dobson .