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Clearwater advises Synseal vendor on multi-million pound sale

Pictured above: Phil Burns, partner at Clearwater Corporate Finance

 

Clearwater Corporate Finance has advised entrepreneur, Gary Dutton MBE, on the acquisition of his business, Synseal Extrusions Limited, the UK's leading supplier of PVC-U windows, doors and conservatories, by private equity firm, H.I.G Europe ("H.I.G").

Synseal, founded in 1980, provides PVC-U extrusions to be made into windows, doors and conservatory roofs, and supplies extruded products to over 700 independent fabricators in the UK. The business employs approximately 500 people at its headquarters in Sutton in Ashfield, near Nottingham, and reported sales of £76m in 2009. 

Known for its efficient production methods and distribution, Synseal began as a domestic installation company, diversifying to become a fabricator and, later, a systems company. The business' commitment to quality and customer service has seen it rise to become the market leader in the supply of windows and conservatories.

The transaction will see the management team of Synseal, led by chief executive officer, David Leng, take a significant equity stake in the business. A debt package from Yorkshire Bank was put in place and contributed to by H.I.G in order to allow the accelerated completion of the acquisition. H.I.G's total funding into the deal totalled £30.5m.

Former owner of Synseal, Gary Dutton MBE, has retained an interest in the home improvements industry via the launch of Doorstop International Limited ("Doorstop"), a composite door manufacturer.

The deal represents Clearwater's second industrial products transaction of 2010 following the recent sale of specialist builders' merchant UGS to BSS. 

Phil Burns, partner at Clearwater, said: "The deal is huge for the Midlands deals market, following a dearth of transactions in 2009, and is an excellent landmark on the region's road to recovery. Gary Dutton MBE is a true entrepreneur and an inspiration for others like him with the same passion for business. Alongside his son Nick, I expect his next venture, Door-Stop International, to be a comparable success story."

 

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Article published by Midlands Business News on 25 February, 2010

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