Partner Article

Green investment choice bears fruit for b7 Ventures

Manchester-based investment vehicle – b7 Ventures – has reported a strong first 12 months, with successful acquisitions, a national award short listing and two key board member appointments.

The company has invested in a number of distressed businesses, and has recently co-invested with a global agricultural supplier in the intellectual property required to develop a pesticide with significant potential in the agricultural and retail markets.

b7’s first acquisition, Doff Portland – a Nottingham-based manufacturer of insecticides, weed killers and garden care products – was rescued by b7 and home and gardenwares manufacturer and supplier, 151 Products, in December 2012. Over the past 12 months, Doff Portland has been restructured, refinanced and rebranded enabling it to flourish. Founded in 1946, the company will now continue to be a staple of the UK manufacturing industry.

The Doff Portland acquisition and turnaround was also shortlisted as a finalist in the Business Rescue of the Year category at the Insolvency and Rescue Awards 2013 – a fantastic achievement for b7 in its first year.

Ben Shapiro, founding partner of b7, said: “The acquisitions and investments during b7’s first year have been matched to the financial and operational leverage that we can provide as a group to our target businesses.”

b7’s second turnaround deal involved a distressed bottle manufacturer that was seeking a funding partner. b7 provided a £500,000 rescue finance facility; without this funding the business would have been forced to close. It now continues to trade solvently, has renegotiated with HMRC and has the benefit of being part of a larger group in the plastics trade.

The company’s latest investment is in conjunction with a global agricultural products supplier. b7 is jointly funding the development of intellectual property for an agricultural pesticide, which can be used by the home and garden market. b7’s investment secures the UK and European rights to develop the home and garden product for the consumer sector, while its partner retains all rights associated with agriculture.

Key appointments have helped strengthen b7’s proposition. Trevor Millen and Peter Folkman both joined b7 Ventures as advisory board members in 2013. Trevor has a long and successful background in international and private label consumer goods, working his way through marketing and operational roles to general management.

Peter previously worked for two American high-tech companies before joining the venture capital group 3i plc. Peter then went on to set up North of England Ventures, raising one of the first regional venture capital funds.

Ben Shapiro, formerly northern director of restructuring practice Hilco UK, founded b7 Ventures in 2012 with Richard Shonn, managing director of Manchester home and gardenwares manufacturer and supplier, 151 Products. The company specialises in acquisitions and investments within the FMCG supply chain – from manufacturing and wholesale to retail and ecommerce.

This was posted in Bdaily's Members' News section by b7 Ventures .