CEPS acquires Kent trophy company
Bath-headquartered Chelverton Equity Partners (CEPS) has acquired a 70 per cent stake in a new Kent company for £1.5m.
Aford Awards (Holdings) Ltd (AAHL) was created to acquire 100 per cent of Aford Awards Ltd, which sells and engraves trophies and medals. It was formed in 1981 and is led by managing director Jon Ford and his family.
CEPS will subscribe £770,000 into AAHL for 70,000 ordinary shares for £70,000, along with £490,000 acquisition loan notes and £210,000 shareholder loan notes, both of which have an 8 per cent interest rate.
The Ford family will receive a total consideration of £1.5m made up of more than £1m in cash, £300,000 of vendor loan notes. Jon Ford will also receive £90,000 in of shareholder loan notes and 30,000 shares at a price of £1 each.
He will continue at managing director of AAHL and will also receive 30 per cent of the issued share capital of the new business.
CEPS said the acquisition fits with its strategy of acquiring "establish, profitable, high margin, niche businesses".