A £2.4m funding facility has helped pipework fabrication specialist Pruce Newman hand over ownership to a new generation of directors in a management buyout.
The funding package from Independent Growth Finance (IGF) has helped facilitate succession plans, which see long time majority owners Alan Pruce and Graham Newman pass on ownership to operations directors Darren Razzell and Jamie Key, who have both been with Pruce Newman since 1999.
The funding will also support working capital and the growth plans of the new owners.
Established in Essex over 50 years ago, Pruce Newman has grown to become a leading fabrication company in the South and East of England. It employs over 150 people across Norfolk and Essex, providing high-specification pipework to a wide range of long-standing customers.
Current managing director Alan Pruce has been with the business since 1987, and will remain in his role post-buyout to guide the transition. New majority owners Darren Razzell and Jamie Key have worked across all levels of the business, with over 40 years combined tenure. This will ensure that Pruce Newman’s values will persist into the future; developing and fostering a close-knit team, building trust with clients, and prioritising exceptional safety and quality.
Jamie O’Neill, New Business Director at IGF said: “We are pleased to have supported Pruce Newman and the team in executing this exciting transition. Working alongside strong business owners and management teams is the cornerstone of our underwrites and for Pruce Newman these fundamentals were clear, with a loyal customer base, strong culture and experienced and accomplished management team obvious from the start. We look forward to working alongside Alan, Darren and Jamie to deliver their future growth plans.”
Alan Pruce said: “When looking for a funding partner IGF came strongly recommended. They took the time to understand the business and were commercial in their structuring of the funding package that met our requirements, providing the flexibility that some mainstream lenders often can’t. The ‘relationship led’ approach by IGF was crucial in not only ensuring a smooth transaction, but in providing the confidence and funding needed to grow and develop the team moving forwards.”