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Spirit provides expansion funding for Adler and Allan
14 June 2007
Spirit Capital (“Spirit” formerly AAMPE*) is pleased to announce the £8.85m investment in oil and environmental services provider Adler and Allan Limited to provide the business with a strong financial platform for the next phase of its development.
With a head office in Harrogate, Adler and Allan operates from a nationwide network of 16 offices, providing a full range of oil, water and tank services to a blue chip customer base. The business is particularly noted for its skills in emergency spill response situations having being heavily involved in the clean-up exercise in the aftermath of the Buncefield explosion in December 2005 and several other high profile emergencies.
Adler and Allan has grown quickly in recent years as legislation and regulation relating to the transport, handling and storage of hazardous liquids has increased significantly. The Buncefield incident itself further heightened awareness of emergency planning issues leading to yet more demand for the company’s services. Revenues in 2006 were £28m and continued growth is expected.
Spirit has invested £8.85m in return for a significant minority stake in the business. As part of the transaction HSBC is providing enhanced banking facilities to the Adler and Allan Group to support the planned developments.
Colin Stirling and Joe Wiley managed the deal for Spirit Capital with both joining the Adler and Allan board.
Mark Calvert, Managing Director of Adler and Allan, commented: “We are delighted to have secured Spirit Capital as a partner to work with us as we continue to expand our national service offering to our client base. We have established a strong market position over recent years and this partnership will enable us to realise the full long term potential of the Business. In particular, our new funding structure will enable us to continue to support organic growth with selective acquisitions where appropriate.”
Colin Stirling, Partner at Spirit Capital, commented: “Spirit Capital is committed to the environmental services sector as a long term growth proposition, underpinned by increasingly positive legislative and regulatory dynamics. Mark and his team at Adler and Allan have developed an unrivalled reputation in their niche and we look forward to supporting the Business to continue to build on this excellent foundation.”
Notes
*Prior to September 2008 Spirit Capital was previously known as Aberdeen Asset Managers Private Equity/ AAMPE