Established in 1989, Heat & Combustion Supplies (H&C) was a £4.2m turnover distributor to the HVAC sector with an extensive UK-wide client base.
H&C’s majority shareholder, Keith Morris, was looking to sell his stake in the company in order to spend more time in the United States and to pursue other business interests. Keen to secure a quick sale and a strong deal value, he instructed Avondale to manage the process.
Avondale conducted extensive market research whilst positioning the business strategically for sale. A competitive market place established, the team made discreet approaches to a number of carefully selected potential acquirers. Face-to-face meetings were held with several interested parties; their offers were carefully vetted and negotiated through to offer acceptance. The eventual acquirer, Newbury Investments, was part of a substantial family business operating in the distribution space and trading extensively across the UK, North America and Australia.
With a distributor in the HVAC industry already among their subsidiaries, Newbury represented a strong commercial fit, with both the experience and industry network in place to take H&C to the next level. Mr Morris was extremely pleased with the outcome. The negotiations, carefully managed by Avondale, achieved the optimum deal structure for the vendor, including a high sale price and a short handover period.
“I am delighted with the success of my business sale. Avondale not only negotiated the deal value and structure that was everything I hoped for, but also the handover period I was looking for. As a result I am able to move on without delay.”
Keith Morris, Director, Heat & Combustion Supplies