D&S Engineering

Industrial

Deal Value Range: £5m – £20m
Acquirer: T Clarke plc
Buyer Location: UK

Convex was the lead adviser to D&S Engineering, a leading provider of a wide range of facilities management services, on a sale to T Clarke plc for £11.6m.

D&S Engineering provides a wide range of facilities management services to a blue-chip UK client list. It is based in Accrington, Lancashire and employs 150 people.

For the year ended 30 September 2009, D&S Engineering reported turnover of £16.6 million and a pre-tax profit of £0.5 million after approximately £1 million of non-recurring private company costs. As at 30 September 2009 it had gross assets of £9.3 million and net assets of £3.3 million. Under the terms of the acquisition agreement, T Clarke has paid an initial cash consideration of £10.6 million, with an additional £1 million payable, in the event of certain asset and cash targets being met in the completion accounts.

The acquisition is part of T.Clarke’s strategy to broaden its range of services to provide its customers a comprehensive offering in a new market sector. D&S Engineering focuses on the maintenance and care of its customer’s buildings and engineering activities, principally in the North West of England. Ivan Bland, Clive Jackson and Keith Gaylor, the three executive directors of D&S Engineering, have committed to remain with the company for a minimum of at least three years after completion.

“I would like to thank Convex for finding the perfect Buyer for D&S, and far exceeding our expectations.”

Peter Dawson, Founder