Quercus International is delighted to announce that it has advised the Sureserve Group (“Sureserve”) on the acquisition of Swale Heating Holdings Ltd and its subsidiary, Swale Heating Limited (together “Swale Heating”), a business delivering gas and renewable heating solutions to both public and private sector customers. This is the second time Quercus International has worked successfully with Sureserve, having previously sold the group’s lifts maintenance business in October 2023.

Swale Heating was established in 1972 to provide heating services to residential and social housing clients. Today, the business provides installation, repair and maintenance services to 140,000+ households located across South East of England, London and East Anglia, and generates turnover of c.£43m. It specialises in standard boiler installations, technical commercial projects and a range of renewable heating solutions, with comprehensive customer service delivered 24 hours a day, 365 days a year.

The acquisition will expand Sureserve’s footprint across the UK and helps to support its mission to be the trusted partner of choice to the social housing and related public sector in delivering essential and affordable heating, energy saving and compliance solutions.

Graham Levinsohn, Group CEO, Sureserve, said:

“We are delighted to welcome Swale Heating and its 375 employees and I would like to thank Quercus for advising on and executing this transaction. We look forward to working with the management and employees of Swale Heating to furthering our shared success.”

Amanda Hall, Partner, who led the Quercus team, commented:

“We are delighted to have been able to support Graham and his team at Sureserve on this important acquisition. We look forward to seeing Swale Heating continue to flourish and develop under Sureserve’s ownership.”

A Quercus International team, led by Mark Whelan, Neil Giles and Michael Mortimor, has advised the shareholders of Capital Compactors Limited (“CCL” or the “Company”) on the sale of the Company to Impact Environmental Group (“IEG”), a portfolio company of US Private Equity firm Aurora Capital Partners .

CCL is a leading UK-based designer, manufacturer and supplier of waste compactors and recycling balers, operating from a state-of-art, purpose-built manufacturing and office facility in Barnsley, South Yorkshire, supported by its head office and support centre located in Bognor Regis, West Sussex.  CCL was founded in 2000 by Alistair and Jo Lindsay, both of whom have led the business since its inception.

CCL becomes the fourth major UK waste products and services business to join IEG alongside Taylor, DuraFlex and UKCM.  IEG’s decision to acquire CCL supports its customer-service oriented growth plan, which centres on building a comprehensive waste solutions business in the UK through ‘Best of British’ brands focused on sustainability.  IEG anticipates a seamless transition as all of CCL’s employees remain in place including Managing Director, Daniel Parsons and Technical Director, Laurence Lindsay, in addition to support by IEG’s EMEA Managing Director, Mike Braddock.

Jo Lindsay, Co-Founder of CCL said:

“When Alistair & I started CCL in March 2000 we had a dream to one day become the UK’s leading supplier of top-quality waste compaction and recycling machinery.  23 years on we believe we have achieved that dream, together with our amazing workforce, and the support of our loyal customers, suppliers and business associates.  As the company has grown, CCL’s brand has become highly respected throughout the waste industry.  Its reputation for providing reliable equipment and excellent service has attracted many offers to acquire the business, but for us to consider handing over our much-loved company we had to feel sure whoever took over would be the perfect fit.  We truly feel we have found that in IEG.  With the environmentally conscious companies within their Group, we believe we have an ideal compatibility with IEG’s values, culture and strategy, and their acquisition will allow CCL to reach its full potential and continue onto the next level.  More importantly, the further expansion offers exciting opportunities to all its staff members - our highly valued Team Capital - who have made CCL a company to be immensely proud of!”

Mike Braddock adds:

“The acquisition of CCL adds yet another premier service offering to the IEG EMEA portfolio. We’ve been so fortunate to build the EMEA family with such respected companies now adding another in CCL.   Their value and reputation in the waste industry make us a more complete supplier to our core Customers by providing Bins, Wear Parts, Services and now Compactors and Balers.” 

Mark Whelan, Partner at Quercus comments:

“We are delighted to have advised Al and Jo Lindsay on the sale of CCL which they developed and grew from an idea into the UK’s leading manufacturer of high-quality waste compaction and baling equipment. Al and Jo were keen to retire and asked Quercus International to help them find a buyer who would both protect and enhance their legacy. Through a pre-existing relationship we had with IEG in the UK, we found a buyer that would be able to do just that. We are sure that under IEG’s ownership, CCL and its excellent team will continue to flourish and innovate and be able to maintain its position as a key provider of waste management and recycling solutions in the UK.”

This transaction illustrates the strength of Quercus International within both the waste and industrial sectors, and the third completion within the industrial sector in as many months.

A Quercus International team led by Tully Cornick and Andrew Clegg has advised Sureserve Group Limited (“Sureserve”) on the sale of Precision Lift Services Limited (“Precision”) to Anlev UK Limited, a subsidiary of ATAL, a Hong Kong listed electrical and mechanical engineering service provider.

Based in Essex, Precision sells, installs and modernises all types of lifts and provides repair and maintenance services to clients across the South East of England. Sureserve had previously announced that Precision was no longer core and that they were looking for a new owner who could help the business to realise its growth ambitions.

The acquisition represents another milestone in ATAL’s strategy to expand internationally following the establishment of Anlev UK in 2020 to enter the European market. Today, Anlev manufactures products from its own facilities in Nanjing, China which are exported to over 20 countries across six continents.

Nicholas Chapman, Group Commercial Finance Director of Sureserve said:

“We are delighted that Precision is now joining an organisation focused on maximising the growth opportunities in the UK lifts market.  We are also pleased to have benefited from the expertise and advice of Quercus International whose experience and commitment were significant factors in achieving a successful result.”

Tully Cornick, Associate Partner of Quercus International, added:

“We have very much enjoyed working with Nik and the Sureserve team on this important transaction and we are delighted to have found Precision such a good home.  The business has an excellent reputation and longstanding client base and the combination presents Anlev UK with an excellent opportunity to expand their presence in the UK.”

A Quercus Corporate Finance team, led by Michael Mortimor and Andrew Clegg, has advised the shareholders of Blue Bear Systems Group Limited (“Blue Bear” or the “Company”) on the sale of the Company to Saab UK Limited (“Saab”).

Blue Bear is a world-leading provider of AI-enabled autonomous swarm systems for complex defence and security applications. Based in Bedford (UK), Blue Bear employs 65 employees with a turnover of £8 million in 2022.

The acquisition is part of Saab’s continued international growth journey across key markets, which include the United Kingdom, Australia, the United States and Germany.

The combination of Saab’s world-leading products, services and solutions, and Blue Bear’s experience as an agile integrator of AI-enabled autonomous swarm systems will be a powerful driver of Saab’s future capabilities. Blue Bear will contribute to Saab’s existing activities worldwide and Saab will benefit from Blue Bear’s expertise in autonomy and swarming, as well as command and control systems.

Within Saab, Blue Bear will be a centre for Rapid Concept Development providing expertise and scaling-up innovation.

Building on the recent Wixroyd and Keronite transactions, Blue Bear once again demonstrates Quercus Corporate Finance’s strength in the industrial technology sector.

Dr Yoge Patel, CEO of Blue Bear said:

“Mike Mortimor was simply superb. Transactions are stressful - Mike’s adeptness in pulling together different strands of the process, using not just his Corporate Finance knowledge but also his ex-CFO experiences, allowed us to execute with confidence and pace. Grace and humour can often be a rarity in fiscal matters, but it is Mike’s natural style.

This remarkable style combined with his sheer talent and his eagerness to engage whenever needed, was just priceless. Most importantly, I felt very supported throughout the whole process - on my terms, not anyone else’s.”

Mike Mortimor, Partner of Quercus Corporate Finance, said:

“We are honoured and humbled to have been trusted by Dr Yoge Patel to advise on this significant transaction for the UK defence sector. Under the leadership of Dr Yoge Patel and her team, Blue Bear has continually been at the forefront of developing and delivering, AI-enabled autonomous swarm systems for the most complex environments – products and services that will play an increasingly vital role in ensuring a safer world. As a centre for Rapid Concept Development, Blue Bear has an exciting future within Saab.”

Quercus Corporate Finance has announced the arrival of Jim Clark as an Associate Partner to support ongoing growth in demand for its services. Jim is the firm’s third senior appointment in two months, with Tully Cornick having previously joined as an Associate Partner and Michael Mortimor having been promoted to partner.

Jim is an experienced dealmaker who brings a wealth of M&A and advisory experience having worked in Corporate Finance for 25 years. He qualified as a Chartered Accountant with EY and subsequently worked for KPMG in their Transaction Services team before specialising in Lead Advisory. Jim has a track record of success supporting entrepreneurs, management teams, private equity houses and corporates.

Speaking about his new role, Jim said:

“Quercus is a byword for quality and excellence in M&A and I am delighted to be joining a team with such a strong track record of delivery.  I’m in no doubt that 2023 will be a busy year despite the short-term inflationary headwinds. Speaking to my clients it is clear that there is capital and appetite in large supply, particularly among private equity firms and I expect buyers will continue to pay a premium for quality businesses.”

Andrew Clegg, Quercus Partner, added:

“Jim’s appointment is the next step in our strategy to build a world-class advisory firm. He has a track record of success and is exceedingly well connected. Jim’s experience will be invaluable in the year ahead as our clients seek to meet the demands of today’s economic climate, whether that be with their growth plans, accessing new sources of funding or planning for exit.”