Rcapital

Rcapital backs heritage UK manufacturing business

News | January 26, 2016
Rcapital backs heritage UK manufacturing business Greens Power Limited

Rcapital backs MBO led acquisition of Wakefield based Greens Power Limited, supplier of heat transfer, economiser and industrial boiler products to the worldwide heat recovery market.

Rcapital, the UK based turnaround and growth investor, has today announced it is backing the MBO led acquisition of Greens Power Limited from its Cayman based parent, Greens Holdings Limited. Rcapital has provided funding to acquire 100% of the share capital of the business and also agreed to provide a working capital facility to enable the business to meet its growth aspirations.

Greens Power is the market leader in heat exchange equipment, including large economisers, waste heat boiler and flue gas recovery, operating in a range of sectors including power generation, industrial, marine, waste to energy and petro-chemical markets.

The business’s key expertise is in-house design, project delivery and manufacturing capabilities which enable the business to design and fabricate high specification bespoke equipment. It supplies to UK customers and exports its high quality UK engineered equipment across the world.

“Greens Power has traded from Wakefield since the 1820s and has a thriving business, despite difficulties encountered in its wider group and parent, Greens Holdings. Greens Power is currently experiencing rapid growth, using its strong heritage, skills base and technology and has remained profitable and cash generative throughout. Having been introduced to Rcapital, the management team has been impressed with their ability to see through the complex wider group issues and provide an appropriate funding package to take advantage of the strong pipeline of opportunities.”

Matthew Crewe, Managing Director of Greens Power

The Rcapital team was led by Chris Campbell, with COO Phil Emmerson joining the Greens Power board following successful completion of the deal. Rcapital were introduced to the deal by KPMG Restructuring, with legal advice provided by Addleshaw Goddard and tax advice provided by RJP.

“Whilst the company’s former parent is subject to a provisional liquidation process, Greens Power is not distressed. The business has remained profitable through difficult times for the sector and the current pipeline is particularly strong despite the issues in the wider group which have naturally restricted growth. We anticipate rapid growth in the short and medium term and look forward to supporting this well established business in the next phase of its development.”

Jamie Constable, CEO, Rcapital

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