Royal Bank Development Capital (RBDC), have backed the £22m secondary management buy-out of Robinson Healthcare Ltd, one of the UK’s leading manufacturers and distributors of personal care, woundcare and animal healthcare products.
Bank of Scotland’s Corporate Banking Midlands team supported the deal with senior debt and working capital facilities. The deal was initiated and led by Clearwater Corporate Finance in the Midlands.
Robinson Healthcare has over 150 years of healthcare history and the business supplies a wide range of customers including many of the UK’s leading retailers as well as the NHS, pharmacies and veterinary across the UK. The business has grown significantly in recent years with annual sales of £33m.
The MBO team is led by Terry Watson, who stepped in to the role of executive Chairman 15 months ago to drive development of the business. Other members of the team are Chris Miller (Managing Director), Mark Richardson (Sales Director) Jim Bell (Finance Director) and Tom Walsh (Logistics).
Neil Meredith and James Hall of Royal Bank Development Capital managed the investment. Meredith commented “We were attracted to the business by its growing customer base, performance improvement under the leadership of Terry Watson and its excellent product portfolio. The healthcare sector continues to be buoyant with growth forecast to continue and we believe that Robinson Healthcare has significant opportunities over the next few years.
This enthusiasm is echoed by the management team who look forward to the future with confidence. Watson commented “Over the years the business has been known for product innovation and development. We intend to build on this heritage by focusing on our three core divisions. Current and future projects are exciting and we look forward to the future with confidence.
Phil Burns and Rob Britton of Clearwater Corporate Finance in the Midlands advised management and legal advice was provided by Rob Metcalfe of Browne Jacobson with DLA in Birmingham advising RBDC. Legal advice to BoS was provided by John Heaphy of freethcartwright.
Commenting on the deal, Britton said “Completion of this MBO is a culmination of all the hard work which the management team has put in during the last 15 months. They now have an excellent opportunity to continue with their exciting plans for the business”.