Management Buy Out
A Humberston
stationery producer is looking forward to an independent
future following a successful management buy out. Cardinal
Brands, until recently part of the multi-billion-dollar US
printing giant R R Donnelley, has been acquired by managing
director Michael Deane, who demonstrated his total belief in
the business when it became clear the UK operation was not
part of the corporations plans.
|
Now with a
re-energised 30 strong workforce at Kopirite House on Wilton
Road Industrial Estate, he is keen to innovate and expand
both ranges and customer base. Mr Deane said "It was 30
families on the dole or do something I believe in". I do
honestly believe in this business. I believe in the team we
have got and i could not ask for a more dedicated and
committed workforce. They are the jewels in the crown".
Financing was
secured and now Cardinal Brands Ltd is trading as a stand
alone firm, dealing in own label products as well as Adams
and Kopirite brands. |
Click here to Download the Article
(required adobe PDF) |
Financiers believed
in stationery plan
Having approached
financial institutions at what "really was the worst
possible time to buy a business", Mr Deane was thrilled to
secure the backing of Venture Finance.
The independent
invoice and asset based lender was recommended by management
buy out accountancy specialists Brown Butler, and it also
appealed because it could deliver a package that included
the Governments Small Firms Loan Guarantee, giving an
immediate boost to cash flow. "They believed in me and the
business model, and i needed to ensure i had the appropriate
support and financial security to make a success", said Mr
Deane, who wholly owns Cardinal Brands Ltd through Cardinal
Brands Holding. "What i didn't want to do was buy a business
and six months down the line close it", he added "No one
else lending money believed in the small man out there.
Grimsby is not the most affluent of areas, but i believed in
the business, and the area, and Venture has secured the
finances".
 |
Fraser Irvine,
Venture Finances business development manager said "Michael
has got a lot of exciting plans and ideas for the company.
"The potential of what they could achieve as they enter this
new phase in the business is incredible. "were really
pleased that we can help Cardinal Brands move forward and
become the organisation it deserves to be. "Our tailor made
package ensures that Cardinal Brands gets the best deal and
financial security that suits them". James White, corporate
finance partner at Brown Butler added: "We were delighted to
help assist Michael on the acquisition, as it is clear that
Michael has a clear vision for the company's future. |
|
.jpg)
