Threesixty Investments Ltd is a private equity (PE) group which acquires businesses with a view to growing and creating long-term value. The owners are highly regarded as accountancy and restructuring industry professionals.
In 2022, they purchased John Gilman & Sons (Electrical) Ltd, a firm specialising in the distribution of electrical and domestic appliances. The investors completed an MBI (management buy in) following the retirement of the company Chair.
To fund the acquisition, threesixty raised the necessary capital ahead of the transaction and put a day-to-day working capital facility in place to support the business going forward.
As part of the acquisition strategy, threesixty look to acquire businesses with assets that can be leveraged by using asset based lending as a mean to releasing funds. This enables ongoing working capital to be raised to support post transaction, and was deployed with John Gilman & Sons (Electrical).
Our funding experts worked with the management team and created a bespoke ABL facility to meet their needs. This comprised a confidential invoice discounting facility with a cash flow loan. The combination enabled the both the initial MBI to be completed and a longer-term working capital facility also to be put into place.
We spoke about the company ambitions and the differing funding options available.
Peter Raybould, Director of threesixty, said:
“Close Brothers Invoice Finance has been great to work with. They had a big appetite to support us from day one, and we have huge respect for the professionalism and courtesy we encountered. Throughout the deal, the Close Brothers team took every twist and turn in their stride and remained committed to getting it over the line. We were always kept up-to-date with regular communication.
“In my experience, when a finance facility is running properly it should be invisible and, for us, that’s the case. Our asset based lending facility is a seamless part of the business.”