Close Brothers Corporate Finance advised Electra Private Equity (“Electra”) and the other shareholders of Amtico International Limited ("Amtico") on the disposal of Amtico for £98.25 million in cash. Amtico was acquired by Peach Investments Limited, a company funded by equity provided by ABN Amro Capital and Electra Private Equity, with debt finance provided by the Royal Bank of Scotland.
Amtico is the leading international designer and manufacturer of Laminated Vinyl Tile (“LVT”). Amtico created the market for LVT 40 years ago and has been at the forefront of producing innovative and resilient flooring products ever since. Its internationally recognised brand is synonymous with cutting-edge design and high performance. Amtico produces three different product groups sold under the Amtico, Stratica and Spacia brands. The company employs 700 people operating from two main production sites based at Coventry (UK) and Madison (USA) and cutting sites in Solihull (UK), Panola (USA) and Sydney (Australia).
In 1995, Amtico was the subject of a £53 million MBO from Courtaulds, backed by Electra. Following a re-focusing of the group on its core markets and sales channels under a new CEO, the business is showing good growth, particularly in the UK and US commercial markets. In the year to 31 March 2006 sales were GBP 86 mln and EBITDA was GBP 11 mln.
Commenting on the transaction:
“We are pleased with the outcome of the disposal process that Close Brothers managed on our behalf; the deal provides an excellent result for Electra Private Equity” – Tim Syder, Electra Private Equity
“Amtico is a quality business with a strong management team who have refocused the group. We are very pleased to have acted for the shareholders in this transaction which itself demonstrates the continuing strong prospects for well run UK manufacturing companies” – Andrew Cunningham, Head of Advanced Manufacturing, Close Brothers
The Amtico team at Close Brothers was Andrew Cunningham and Henry Wells. To contact them please call Close Brothers on +44 (0)20 7655 3100.