Results

Gresham has achieved huge success for many of our investee companies. The case histories here give an idea of how we have created rapid value and delivered highly lucrative exits across some very different businesses and in very different ways.

Each of the strategies we employed delivered a profitable outcome to individual owners and shareholders.

Management buy-out

Penn Pharmaceuticals is a drug delivery business based in South Wales. In September 2000 we backed a £12 million management buy-out of the business. In 2004 part of the business was sold for $110 million and three years later, the remainder of Penn was sold for £67 million. During that time the company doubled its workforce, increased sales fourfold and multiplied profits by over tenfold.

Development capital / Buy and build

Giles was an investment where we managed to add tremendous value. By the time we exited 17 months later, the company had completed 10 acquisitions, expanded its regional network from 17 to 32 offices and increased turnover more than threefold.

Development capital / Roll-out

The Individual Restaurant Company operated a chain of 16 premium restaurants under two key brands – Bar & Grill and Piccolino. In 2004, Gresham provided the capital to fund a site roll-out programme, opening 11 additional restaurants (10 Piccolinos and 1 Bar & Grill). During our investment, the company underwent a period of rapid organic growth as we helped it to realise its tremendous growth potential by providing strong strategic and financial support to the management team.

The business was exited in 2006 through the £41m reverse take-over of an AIM quoted Group.

Internationalisation

Beck & Pollitzer is one of Europe’s leading outsourced engineering services companies specialising in the installation and relocation of industrial plant and machinery, on-site maintenance and control systems services. The transaction was a secondary buy-out triggered by the retirement of the CEO. A key attraction of the deal was the strong market position and excellent customer base, together with the planned expansion into continental Europe. With Gresham, turnover grew from £28 million to £44 million and operations were opened in France, Germany, Poland, Hungary and the Czech Republic.

The business was sold in December 2004 through a tertiary buy-out. The deal has allowed the directors, management and employees to secure a majority of the shareholding in Beck & Pollitzer.