A Yorkshire-based manufacturer has completed a successful secondary management buyout led by the current Managing Director Phil Leonard, making it a fully independent business.
Recently rebranded, Red Dog Linings is an international hardfacing specialist, offering services to reduce abrasion and impact in bulk materials processing plants.
Employing 85 people at its base in Barnsley, the company exports nearly two thirds of its products overseas which are used in a variety of industries including steel, cement, waste-to-energy, chemical and recycling.
Mr Leonard joined the company as a regional salesman in 1992 and worked his way up to Managing Director in 2002. He successfully led a partial management buyout in 2013 and the company has since continued to grow into new markets both domestically and internationally.
He commented: “This secondary buyout is the culmination of a lot of hard work by the team which enables us to really build on our current success and expand on the incredible achievements made to date.
“At Red Dog Linings, we offer a unique proposition, both in terms of the company’s approach to customer service and the breadth of products we supply. We’re incredibly excited about the future of the business.”
Marcus Armstrong, Partner at Shulmans LLP and Corporate Finance solicitor, who acted for Red Dog Linings on the original purchase and the secondary buyout said: “Phil and the team have created an impressive business model and are looking to increase turnover by around 40 per cent in the next few years. Now the buyout is complete, its investment programme will see the company secure the latest technology, further developing its offering and workforce.”
Matthew Chenery, Barclays Relationship Director arranged the funding for the deal and said: “This transaction is both a significant and pivotal milestone in the company’s history as it paves the way for further expansion and growth. The management’s ambitious plan is testament to their success and we’re delighted that we’ve been able to support with funding for their secondary management buyout.”
The buyout was facilitated by James White and Geoff Thomas at Brown Butler and Matthew Chenery at Barclays.