BTG supports £2.5 million private equity investment in school uniform manufacturer

The Challenge

A UK-based private equity firm, sought to acquire a 42% shareholding in a historic producer of school wear garments. The transaction required comprehensive financial due diligence supporting new equity investment alongside a refinancing facility. The private equity firm needed detailed insight into the target business to make an informed investment decision, requiring thorough assessment of historic and projected financial performance, as well as international growth plan feasibility.

Our Approach

Our deal advisory team delivered comprehensive financial due diligence including a review of historic and current financial performance, quality of income analysis, and an assessment of funds flow dynamics. We conducted a detailed forecast model review, evaluating growth assumptions and international expansion plans. Sensitivity analysis was performed on the impact of refinancing, stress-testing various scenarios to understand potential risks and opportunities. Working closely with existing management, we identified critical success factors and highlighted potential issues, enabling informed decision-making throughout the transaction process.

The Outcome

BTG supported the private equity firm in their successful acquisition of its 42% shareholding in the company, by way of a £2.5 million new equity investment to facilitate the business's strategic development. The £18.5 million refinancing facility provides capital for accelerated international growth, positioning the business for expansion into new global markets.