Clearwater International advises York Mailing Group on MBO

Clearwater International has advised the management team at leading print supplier York Mailing Group (YMG) on its MBO which has financial backing from Pricoa Capital Group.

YMG is the UK market leader in the specialist production of retail flyers, media inserts and quality catalogues. In the past two years, the business has seen revenues grow from €94m to more than €136m through acquisitive and organic growth as well as significant investment in new machinery. This has also resulted in 275 new jobs and more than a 50% increase in earnings to €16m EBITDA.

In the last two years, YMG has acquired two businesses – The Lettershop Group in 2013 and Go Direct Marketing in 2014 – which have added advanced printing capabilities and a new data-driven analytics division. These developments have helped YMG to win some substantial new contracts and the investment in technology positions the business perfectly for continued growth.

The Clearwater International team was led by partners Jon Hustler and Mark Taylor, supported by Rob Britton and Mark Gillingham.

“Clearwater International provided us with invaluable advice and support to ensure the Management Buy-Out progressed smoothly. The team’s impressive in-depth knowledge and expertise helped us to prepare thoroughly and remain focussed on running the business throughout the process from offer through to completion. They very successfully structured and obtained support for an innovative funding structure which really matched the needs of the business and the various stakeholders. We would firmly recommend Clearwater and would not hesitate in working with them in the future.”

Stephen Goodman, Group MD at YMG

“It was important to the new management team that the financing solution allowed them to acquire a significant stake in the business whilst maintaining an appropriate funding structure. The business is extremely well placed for continued growth and we wish the new management team every success.”

Jon Hustler, Industrials partner at Clearwater International

“We arranged bespoke debt capital facilities and follow on funding capabilities with Pricoa Capital Group, which will support the ongoing growth of the business whilst meeting both shareholder and management aspirations. The transaction highlights the strong interest being shown by alternative funders in quality UK assets.”

Mark Taylor, Debt Advisory partner at Clearwater International