Business Growth Fund invests £4.8m in Wow! Stuff
The Business Growth Fund has made its fifth investment with the purchase of a ТЃ4.8m minority stake in British toy company Wow! Stuff.
The investment will help the company drive growth and expand in the US market. Future acquisitions of an engineering and innovation team are planned as part of the deal.
Company
Wow! Stuff is a British toy company based in Wolverhampton. Its products are priced at between £20-60 per item. The company was founded by Richard North, Kenny McAndrew and Graeme Taylor in 2006.
Its revenues amount to £20m in 2011. More than half of its sales are outside the UK, in the US and continental Europe. Wow! Stuff has a compound annual growth rate (CAGR) of 42%.
People
Alistair Brew, investment director, led the deal on behalf of the Business Growth Fund. Following the transaction, an as-yet unnamed non-executive director and chairman will join Wow! Stuff.
Advisers
Equity – Springboard Corporate Finance (Corporate finance); Ernst & Young (Financial due diligence); CiL (Commerical due diligence); Catalysis (Management due diligence).
Management – The Wilkes Partnership (Legal).
Company – Pinsent Masons (Legal).
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