Qualter Hall & Company is an internationally recognised engineering business with a reputation for high quality design and manufacture having undertaken iconic projects around the world. It employs 120 people from its head office in Barnsley, providing a ‘one stop shop’ for a multitude of engineering solutions.
PPCF advised the management team of Qualter Hall on an MBO backed by Enact, a private equity fund managed by Endless. PPCF’s relationship with the management team dates back to 2009 when they first explored the possibility of undertaking a management buy-out. The business was owned by Austrian-based Waagner-Biro who, at the time, were unwilling to sell the business. However, in early 2019, parts of the Waagner Biro group of companies entered an insolvency process in Austria and management recognised that there was an opportunity to revisit an MBO of Qualter Hall that remained solvent and profitable.
PPCF were engaged at an early stage and led initial discussions with the Austrian-based insolvency practitioners. Having established their willingness to consider an MBO, PPCF introduced a number of potential equity providers to fund the MBO alongside the incumbent debt provider, HSBC. It was fundamental when introducing funders that they had a track record for delivering corporate carve-outs in an accelerated timeframe. Ultimately Endless were identified as management’s preferred funder having demonstrated their credentials and offered management an attractive equity package.
PPCF worked alongside Endless, on behalf of management, to structure the MBO and reach agreement on the terms of the deal with the sell-side.