RJD Partners, the UK private equity investor, has invested in the management by objectives (MBO) of family-owned Burgess Marine Limited; one of the largest independent providers of marine engineering services in the UK.
The £11 million committed by RDJ will fund the MBO and provide funds for future national growth, which, with the support of the existing Burgess management team, will help second-generation Burgess managing director, Nicholas Warren to take the business forward. The transaction will also represent an exit for David Warren, Nicholas’s father.
Burgess provides ship maintenance, repair, new-build construction and refit services from its sites, which occupy strategic locations along the South coast of England, as well as in Palma de Mallorca. Currently employing 130 people, the company has achieved strong growth in recent years with an annual turnover in excess of £25m in the year to 31st March 2014.
The transaction will be delivered to Burgess via a new vehicle, called RJD Burgess Investment LP, and with the investment, the company plans to further enhance and expand its geographic footprint and service offering - both organically and through selective acquisition.
Alex Hay, partner at RJD Partners commented, “We are delighted to have completed the investment in Burgess and we very much look forward to working with Nicholas and his team to further develop Burgess into the national leader in its field. RJD has a successful track record of being the first institutional investor within family businesses and we look forward to leveraging our experience in this area to support the company’s exciting growth prospects.”
Nicholas Warren, managing director of Burgess Marine added, “Burgess has an excellent foundation of strong customer relationships and a reputation and proven track record for innovation and quality. We are determined to build on this over the coming years as the company grows to become the leading independent operator in the UK marine services sector. We are very pleased to have partnered with RJD in carrying out this MBO and look forward to working closely with their team in continuing the success of Burgess.”
With news of this investment, RDJ Partners’ Richard Caston and Alex Hay will be joining the board of Burgess.
For more information, visit Burgess Marine Ltd.