Funding deal gets business buy-outs off to a flying start

A funding deal put together by ABL Business has enabled Ignite Capital to purchase the first investment in a portfolio, by acquiring Bristol-based manufacturer and wholesaler Albert E James & Son Ltd.

Corporate finance brokers ABL Business, based in Cleckheaton, structured a full asset based lending package from funder IGF group to support the seven figure purchase of the company.

Established in 1962, Albert E James & Son manufactures and markets bird feeds that have been developed to match the nutritional requirements of particular birds and breeds. The range includes corn feed that has been designed to optimise the performance of racing pigeons. The company operates under two brands, Country Wide and Willsbridge

Leeds-based Ignite Capital was formed in 2017 by managing director Paul Thompson. A corporate finance boutique, it offers a range of services relating to the sale and purchase of businesses and is currently in the process of developing its own portfolio through the acquisition of a handful of UK SMEs.

Management buy-in candidate Joe Mogg invested alongside Ignite as part of the transaction and is now responsible for the day-to-day running of the specialist bird feed manufacturer as managing director.

Joint Managing Director of ABL Business Andy Redman said: “Albert E James & Son is a successful business with much potential for the future, so we were delighted to be able to support Ignite Capital to complete the purchase, ensuring that it can now go on to be developed to even greater heights.”

“This is an excellent example of how we get to know our clients’ businesses and provide the appropriate funding, chosen from a broad range of options, then tailored to suit their specific needs. We felt that an asset based lending package was most suitable in this case as it is a very flexible funding arrangement. It enables a business to raise the large amount of capital required to purchase a high-value company by securing the loan against a variety of different assets that they already own.”

Managing Director of Ignite Capital, Paul Thompson said: “ABL Business were quick to recognise the potential of the business and were able to identify a selection of potential funders to support the transaction. Now the acquisition is complete, we look forward to developing and growing the business.”

 

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