Succession strategy puts new team at the helm of £20m Yorkshire firm SCS Group
Wakefield-headquartered contractor The SCS Group (SCS) has undergone a buyout deal financed by Allied Irish Bank (GB).
The £20m-turnover company has today (November 6) announced a vendor-initiated management buyout (VIMBO) built around a planned succession strategy.
Shareholders Rodger Lambert, Andy Morson and Trevor Watson are retiring to allow existing key personnel to take the helm.
SCS’s new shareholder directors are Darren Friend, Paul Flynn, Craig Scott and Michelle Chappell Dixon.
Rodger, Andy and Trevor will continue to be involved in the business, allowing SCS to smoothly transition into its next stage of development.
Corporate finance advisors Richard Feltham and Mark Phillips, of Leeds- and York-based accountancy firm Garbutt + Elliott, introduced Allied Irish Bank’s Mark Billington and Matthew Fannon to SCS Group. Mark and Matthew worked together to structure a suitable funding package.
Garbutt + Elliott advised on the deal alongside Yorkshire law firm Schofield Sweeney.
SCS Group chief exec Darren Friend said: “Having been on the board for the last nine years and working closely with Michelle, Paul and Craig who were in senior management positions, I know we have a wide range of skills and personalities who know the business inside and out.
“These are very exciting times as we look to move the business forward with the help and support from Rodger, Andy and Trevor along with all of our great staff who continue to be an integral part of the group.”
Former chief exec Rodger Lambert, now non-executive director, commented: “We are committed to the long-term future of SCS and know we are passing on the management of the business to a very trusted and strong team.
“SCS has gone from strength to strength since the company was established and it continues to evolve and grow.”
Mark Billington, business centre head for Allied Irish Bank (GB) in Leeds, said of the deal: “SCS is a successful and prosperous business who have worked on a number of key projects. We are very pleased to support the next phase of their strategic growth.”
Garbutt + Elliott’s Richard Feltham commented: “This is a great example of a well managed succession plan and buyout, demonstrating the importance of planning ahead of time for such transactions.
“SCS is a very strong regional business and AIB (GB)’s backing proves the availability of capital for the right businesses in Yorkshire.”
The header image shows (L-R) Michelle Chappell Dixon, Matthew Fannon, Andrew Morson, Rodger Lambert, Craig Scott, Darren Friend, Trevor Watson, Mark Billington and Paul Flynn.