Caldey Corporate Finance is delighted to announce the sale of the business and related assets of PG Vending of Petrie Gough Limited
The Caldey Corporate Finance team led by Adrian Dray and Janine Vitali, advised the shareholders of Petrie Gough Limited (“PG), on the sale of its vending interests to a UK travel retail focussed vending company.
PG Vending is the UK’s leading vending and automated retail supplier to the travel and tourism sector. Covering the length and breadth of the UK, PG Vending supports the largest airports in the South of the UK alongside a number of the major theme parks, alongside other clients with vending solutions for snacks, drinks, ice creams, toys, coffee and fresh food solutions.
PG Vending is an entrepreneurial, family owned and run business and has succeeded in winning, retaining, extending and renewing contracts with its prestigious clients for a number of years – a testament to its focus on client and service delivery.
The founder, Avril Elson, made the decision that she wished to retire and sought out an organisation that could maintain the business and operational success of PG Vending, while at the same time had the vision, capability and financial backing to expand PG Vending into other airports and locations in the UK, Europe and further afield, with exciting new vending concepts.
The buyer is a specialist in vending into rail networks, having themselves recently been acquired by a major Japanese business which operates high-speed Shinkansen, commuter, and regional trains across Japan. Beyond transportation and vending, it operates extensive lifestyle businesses including shopping centres, hotels, and real estate.
Founder and 50% shareholder, Avril Elson set up PG Vending fifteen years ago and has been at the forefront of its growth and development ever since. She has been highly successful in scaling the business through securing long term contracts with some of the biggest companies in the airport and tourist attraction arena, through a commitment, dedication and flexibility to deliver the best solution in often complex trading environments (such as airside).
Avril engaged with Caldey following a recommendation from her accountants, RJP. Avril had secured an ‘in principle deal’ and as importantly had in principle secured agreement from PG Vending’s key clients to take over the respective contracts. Having never been through a process, Avril was looking for an adviser who could steer and support the shareholders through every element of the deal.
Avril stated “I had no idea what was required to get an in principle agreement to a completed deal. Janine and Adrian from Caldey explained clearly the steps, the requirements and timing. They also set out the level of work required from an advisory and company perspective. Adrian and Janine said that all clients embarking can never appreciate, at the start, the quantum of work, the “curve balls”, and “leftfield” issues that occur on deals. We certainly didn’t. Now we have completed the deal and can step back, we have a fuller appreciation and are absolutely clear without the guidance, support and innovative thinking the issues we faced would have killed the deal. Their focus and thinking through issues, finding solutions and presenting them in a manner that all parties understood and could move forward on ensured deal momentum was maintained through to completion.’
Avril added “Janine and Adrian also opened our minds to the potential value of PG Vending which has resulted in a deal significantly greater than we had anticipated when Caldey were appointed. What was key, is Caldey took our company information and our view for the future and created a compelling and robust presentation of the current position of PG Vending and its future potential that underpinned a delivered price that we are extremely pleased with”
“Also, Janine sourced a legal firm whose lead partner led the transaction, which had a number of tricky legal issues and steps. Without such an introduction, I am not sure we would have completed a deal, certainly not in the time and nature that we have achieved.’
Janine Vitali of Caldey commented “Adrian and I set up Caldey to help entrepreneurs such as Avril who have created great business to deliver great results when they come to sell their business but have no experience of the M&A arena. By looking at PG Vending from a buyer’s and market view, we were able to demonstrate what a wonderful opportunity PG Vending would deliver for the right buyer. We are delighted that we could present PG Vending a in manner that both demonstrates its quality as a standalone business and the opportunity it would deliver to a Buyer. Like all great deals, it was a win for all parties. We are delighted that Avril and Pip can now look forward to retirement having created a great business from an idea and found a new owner who sees the tremendous potential
We enjoyed working with Avril, Pip, James, the wider PG Vending team and Philips Law. We are delighted that we were able to demonstrate clearly the underlying shareholder value and translate that into 100% consideration on Day One.”.
Caldey Corporate Finance is an independent advisor to entrepreneurs and owner managed businesses, supporting its clients and their businesses on their journey to value through delivering strategic advice, fund raising, acquisition services, exit planning and execution.
www.caldeycorporatefinance.co.uk
Adrian Dray
07711 473237
Janine Vitali
07949 026229