Parkman Group - Engineering & Environmental Consultancy

Gresham Trust, the private equity house, has backed a £10m management buy-out of Parkman Group plc, a multi-disciplined engineering and environmental consultancy.

Parkman Group provides consultancy, design and project management to infrastructure projects in both the public and private sectors. The firm employs 1,000 staff in 27 permanent offices and project offices in the United Kingdom and overseas. It focuses on the transportation, environment, water and building sectors. Clients include the Highways Agency, a number of local authorities, B.G. Property, North West Water, Railtrack, and Defence Estates, as well as the International Funding Agencies, the World Bank, and the European Union.

The company is being bought by Gresham Trust, which is providing £4m of equity capital, and the management team through a share purchase from current shareholders including the original Parkman family members and current and former employees.

Richard Archer leads the buy-out team and becomes the new chief executive officer of the Group which has its headquarters in Sutton Coldfield. Archer, 51, joined the business in 1998 as chairman. He was previously senior regional partner with the accountancy firm KPMG.

Richard Archer and the team have transformed the Group into an integrated infrastructure consulting and local government services group growing revenue dramatically and doubling profits. They have recently won a series of high profile contracts such as the highway maintenance for Wiltshire. The most recent contract award was for a five year commission for all the highways and transportation work for Wokingham District Council.

Richard Archer says, "We are operating in fast-developing markets and, in order to meet changing market needs, we have now streamlined the business into three divisions - transportation, environment and water, and building. We also have the opportunity to grow in the future through selective acquisitions."

Gresham Trust's Ryan Robson says, "Parkman Group has rapidly become a key player in expanding markets of public interest. The management team is focused on delivering superb service to clients who appreciate expert advice. I am delighted that Gresham is able to back the team to take the business to the next level."

Ryan Robson and Paul Canning represented Gresham in the transaction and were advised by Ernst & Young and Gouldens. Royal Bank of Scotland provided additional funding and was advised by Cameron McKenna. The management team was advised by RSMI Robson Rhodes and Nabarro Nathanson. Pinsent Curtis and BDO Binder Hamlyn acted as advisers to Parkman Group.