RCP buys Small Batch Coffee
Risk Capital Partners (RCP) has bought a majority share in Brighton-based coffee chain Small Batch Coffee.
The GP acquired the majority stake from one of the company's two co-founders, Brad Jacobsen. RCP approached the business off-market, having approached the owners one year ago. The sale process itself took around three months. Luke Johnson and Michael Simmonds of RCP will join the board of Small Batch Coffee.
With the new investor, Small Batch Coffee plans an expansion across the UK. Synergies with other portfolio companies are also possible. RCP acquired a stake in The Laine Pub Company in July 2014 and in Red Hot World Buffet in August 2013.
Debt
As part of the buyout, Santander provided a new loan facility.
Company
Founded in Brighton in 2006, Small Batch Coffee runs five coffee shops across Brighton and Hove, as well as two railway kiosks. The company also produces its own coffee blends and distributes these to restaurants, coffee shops and cafes across the UK.
People
Luke Johnson is chair of RCP. Nigel Lambe is chief executive of Small Batch Coffee.
Advisers
Equity – Rees Pollock (Financial due diligence); Osborn Clarke (Legal).
Vendor – DMH Stallard (Legal).
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