Private Equity-backed Torus Group Acquires MP Calibration
Fivefold Associates in partnership with Symmetry Corporate Finance have advised the shareholders of MP Calibration Services on their sale to Torus Group, part of Industrial Physics a KKR business.
Industrial Physics are a leading test and measurement instrument provider and Torus is known for its strong portfolio in measurement for metal and rigid packaging in the food and beverage industries and has recently expanded into plastic packaging and medical devices.
MP Calibration Services are a UKAS calibration laboratory accredited to the requirements of BS EN 17025: 2017 (General requirements for the competence of testing and calibration laboratories). Everything they do is underpinned by this ISO 17025 approval which assesses quality procedures and processes as well as technical competence.
The acquisition of MP Calibration Services accelerates Industrial Physics’ and Torus Groups’ growth as a leading provider of calibration and metrology services to the UK market, cementing its position as a global leader.
Mark Lester and Martyn Yeoman, shareholders of MP Calibration Services commented: “We were delighted that the Fivefold and Symmetry team were able to generate significant interest to acquire our business from a number of bidders. It quickly became clear that Torus & IP were the natural home for our team and clients, sharing our commitment to excellent service and high standards.”
“The future is bright for MPC under new ownership, and we are grateful to Steve, Jonathan and the team for their work to achieve this outcome”
Prime Global Publishing Acquires Aggregates Business
Fivefold Associates have advised the shareholders of Route One Publishing Limited on the sale of their Aggregates Business Europe and Aggregates Business International titles to Prime Global Publishing the international subsidiary of Prime Creative Media, Australia’s largest independently owned B2B Events and Publishing business.
First published in 2006, the Aggregates Business masthead was launched as a global information source for the aggregates sector. Prime Creative Media CEO John Murphy says he’s excited to extend his company’s purpose of growing individuals, organisations and industries to the international aggregates sector through these publications. The Melbourne headquartered company has a history of growing its national quarrying sector through Quarry Magazine, which it publishes in partnership with the Institute of Quarrying Australia (IQA). It also serves the broader infrastructure sector through its publications Road and Infrastructure, Inside Construction, Cranes & Lifting Magazine and Infrastructure Magazine. Its major expo, Converge, is the only Australian-owned major event showcasing the latest tools and technology in the municipal works, civil and commercial construction space.
“We have long admired the important work of the quarrying and wider aggregates sector as the backbone of infrastructure development,” says John. “We appreciate the opportunity to invest in the growth of these publications, to continue to tell the stories of the exciting developments in this space, now on a global scale.”
Route One Publishing Chairman Roger Adshead says that Prime Global Publishing is an ideal new home for Aggregates Business magazines, with its parent company’s proven record in growing publications and events.
“Aggregates Business is positioned very much at the business end of the industry, which like many, is now embracing digitalisation and the deployment of more efficient equipment to become both more profitable and more sustainable,” says Roger. “At a time when its footprint has been growing rapidly, it makes sense for Aggregates Business to join the construction materials team at Prime Global Publishing as it moves to leverage its industry experience beyond the shores of its Australian home base.”
Steve Anstey, Managing Director of Fivefold Associates says, “It was a pleasure to advise Roger Adshead and his fellow Route One shareholder on the sale of their Aggregates Business titles. The fit with Prime Creative Media was apparent from our first conversation with John Murphy and I’m confident that the titles will thrive as they are developed and taken forward under new ownership.”
Chris Fox, Director and co-founder of Fivefold Associates added, “In light of the sector Aggregates Business serves, global research was required with potential acquirers identified and contacted across four continents in disparate timezones to ensure a competitive process.”
Roger Adshead commented on the sale process further, “Principal Steve Anstey inspired confidence from the start, providing guidance which proved invaluable. Of course, we thought we knew who the likely buyers might be, but Fivefold has a great team who researched the international market and came up with a quite amazing list of potential target buyers for Fivefold to contact. In the meantime, Steve and his team worked with us to produce a comprehensive ‘Information Memorandum’ to supply to interested parties under NDA. Fivefold explained the necessity to generate real positive interest from multiple potential buyers, in order to create competition, and before long, we had several firm expressions of interest.
From the start we were working across multiple time zones, and Steve proved willing to run Teams calls at either end of the day to ensure nothing got lost in translation. He inspired confidence form the start and maintained it throughout. We received five-star service at all times.”
Prime Global Publishing and Route One Publishing are now working together to ensure a smooth transition for the magazines, advertisers, readers and partners.
Preparation is critical when selling your business
If you are thinking of selling your business, preparing for sale is critical. It has a profound effect on success.
Unfortunately, most businesses who begin a sale do not succeed at first attempt. The decision to sell is therefore not without risk.
For those who do not sell but nevertheless get a long way into the process, it can be extremely distracting. Perhaps most disruptive, however, is the emotional impact of planning life after sale, only to see those plans not come to fruition. Regaining your energy and enthusiasm for continuing to run your business can be difficult.
Still the best way to release value
Despite these uncertainties, selling remains the best way to release the value locked in your business in a single transaction.
The good news is that selling a business can be made much more certain. The causes of businesses failing to sell are largely addressable before a sale process begins.
Preparation to sell is critical to success
Preparation to sell your business is critical to success, to know that you have done everything to reduce or eliminate risk.
Most business owners have typically not deliberately prepared for sale. You will know if that is true of your own business, but it is perfectly understandable.
A successful and rewarding business during normal trading conditions may not translate into a saleable business in the eyes of an acquirer. Effective preparation for sale can only happen if you know how an acquirer perceives risk. That is not something any business owner would usually concern themselves with.
There are three questions you should seek to answer before formally commencing a sale:
- Is my business saleable today?
- Who will buy my business?
- Is now the right time to sell?
Attempting a sale prematurely and then not succeeding is a very expensive way to discover the answers to these three questions.
How to answer the key questions?
The way to answer the three key questions is to talk to the market of buyers first. This is best done by a third party to protect confidentiality but also to ensure the right questions are asked. The aim is to secure detailed and relevant insight which you can act on.
This insight can act much like a template against which to assess your business strength as an acquisition target. Equipped with this knowledge you will be well placed to react. You can undertake ‘preparation for sale’ work which you know will de-risk your business and increase its attractiveness [and value] in the eyes of a buyer. You can also sell at the right time.
Smoother and quicker
Adopting this approach, we advocate, will ultimately deliver the smoother and quicker transactions, and all parties want that.
- Your business will be shaped to sell
- It will be de-risked and more valuable in the eyes of the acquirer
- Ready for the scrutiny of due diligence
- Positioned ahead of less well-prepared targets
This approach may seem common sense but remains all too rare.
Most people sell a business only once in their working life. Why not do everything you can to get selling right first time?
