After securing a £5.5 million facility from Arbuthnot Commercial Asset Based Lending, a Derbyshire-based supplier and maintenance provider of road, rail and storage tankers, WG Tanker Group, has completed a management buyout (MBO). The facility, which comprises a confidential invoice discounting line, a property term loan and CBILS lending, has allowed group managing director Ian Buxton to acquire 100 per cent of the business.
“This was a complex transaction as it involved several elements, including the buyout of my business partner and arranging a mortgage on some land while taking out the existing bank overdraft facility and building sufficient headroom for the planned growth of the business,” said Buxton.
“Arbuthnot came up with a competitive package and their team was very straightforward to work with. With the funding from Arbuthnot Commercial ABL in place, we are firing on all cylinders and are well-positioned to increase profitability and growth by taking on additional business from both existing and new customers.”
The road maintenance provider, WG Tanker Group offers its services to the rail and manufacturing sector, and also undertakes work for the Ministry of Defence at its specialist coatings and specialist projects divisions. The group employs about 120 people.
“Completing this MBO enables the business owner to secure the remaining shares and to support the group to achieve its considerable growth potential,” added Andrew Rutherford, commercial director at Arbuthnot Commercial ABL. “WG Tanker Group is a well-established business with a strong focus on profitability. This transaction is an exciting opportunity for the owner of the business to take 100 per cent control of the company and see through his vision to drive further success in the years to come.”