Facilitating a Management Buyout

Facilitating a management buyout of a public company

The SE-Solicitors Corporate & Commercial team were instrumental in getting this successful management buy-out off the ground. The team acted for a senior manager of a public company, who had been presented with the opportunity to take the part of the business that he managed into his own ownership through a management buy-out (MBO).

SE-Solicitors were instructed throughout the matter on behalf of both him and his team. The matter was greatly urgent, as the opportunity for our client to complete this MBO existed only within a very limited period of time.

The Value to the Client:

Having progressed the matter expertly and efficiently, it became apparent to the SE-Solicitors team towards the very end of the process that one of the members of the client’s MBO team was unlikely, if not unable, to make the financial contribution to the team which he had assured would be done.

Luckily, the team had recently acted for a previous client in his recent sale of a substantial manufacturing company. The client had mentioned that if SE-Solicitors became aware of any opportunities for him to invest in, then he would like to be informed so that he could get involved. With this knowledge, the SE-Solicitors team contacted the previous client and had soon arranged a meeting between him and the current client. This meeting was immediately successful for both parties. Not only was the finance provided in short order, but the previous client was able to contribute valuable and much-needed skills to the clients’ team.

The ability of the SE-Solicitors team to think quickly and laterally saved this deal. Without the introduction of the previous client, it would have been unlikely that the MBO could have taken place. The company which emerged resulting from this deal went from strength to strength and, as they had been so pleased with our work, instructed us again not long after to act on the sale of the company back into the public sector.