WestBridge backs £6m MBO of Anglia Business Solutions

Kimberly Romaine
13 December 2012

Tweet
Facebook
LinkedIn
Google plus
Send to

UK SME investor WestBridge Capital has pumped ТЃ2.6m into the buyout of Cambridge-based Anglia Business Solutions in return for a 43% stake in the business.

The stake may decrease, owing to a management performance mechanism. WestBridge backed the six-strong management team in buying the business out from family shareholders in a transaction that values the company at £6m.

The Co-operative Bank provided £1.5m of debt. The £6m deal value was also comprised of £1.4m from the vendor (loan notes) and £500,000 from management. An affiliate of American investor group Giumarra provided the remainder of the funding.

The funds are earmarked for international expansion and increased product development, in particular to fund the migration of Anglia's LINKFresh software onto the Microsoft Dynamics AX Platform. The international expansion will be led through the company's US subsidiary, California-based LINKFresh Inc, and will focus on the increasing need for food traceability on the back of changing legislation.

Company
Anglia Business Solutions was established in 1981 and has grown into a £6m turnover business by providing software and IT consultancy to companies requiring supply-chain expertise. LINKFresh is used by food suppliers including Produce World, Delmonte, Hilton Food Group and 2 Sisters Food Group in the UK, as well as Giumarra in the US and L H Gray & Sons in Canada.

People
Guy Davies (pictured) is managing partner at WestBridge. Robert Frost is Anglia's CEO and led the buyout. Tim Riley is executive vice president of Giumarra, while Steve Bateman led the deal for The Co-operative Bank.

Advisers
Equity – Shoosmiths, Lynn Knight (Legal); PKF, Laura Shaw (Financial due diligence); Willis, Jessica Dunford, Brian Hendry (Insurance due diligence); Carlton Strategy Advisors, David McLelland (Commercial due diligence); The Catalyst Group, John Scholes (Corporate finance – exit strategy).
Debt – Morgan Cole – Reading (Legal).
Vendor – HW Corporate Finance, Richard Hall, Matthew Wright, Stephen Wicks (Corporate finance); EMW, Ian Morris (Legal).