Background
-
Collingwood Lighting (Collingwood), is a leader in the design, manufacture and distribution of energy efficient LED luminaires for residential, landscape, commercial and light industrial applications
-
Headquartered in Northamptonshire, UK, Collingwood is a pioneer in the LED lighting industry, having been one of the first in the UK to supply a range of purpose-built LED lighting products for the UK electrical wholesale market
-
Collingwood operates in the European LED luminaires market, which is worth >£1.3bn across its current target geographies of the UK and France and benefits from a number of structural growth drivers
-
The business has been able to capitalise on this market opportunity by maintaining and growing market share within its core residential and landscape segments, whilst successfully developing and expanding its product range, including for new market segments
Process
- DC Advisory (DC) was engaged by Ambienta to provide full scope buy-side M&A and debt advice to support the acquisition of Collingwood
- DC leveraged its previous experience and knowledge of the business and its markets to support Ambienta in securing exclusivity and completing the transaction
- DC advised Ambienta on all interactions with potential providers of debt finance, leading commercial negotiations with the ultimate lender, Shawbrook, which ensured the optimal banking package to support the transaction
Outcome
- In February 2021, Ambienta completed the acquisition of a majority stake in Collingwood. Financial terms of the transaction were not disclosed
- Following Ambienta’s investment, Collingwood will continue to be led by Steve Grao (CEO) and the incumbent management team
- The investment enables Collingwood to continue to preserve and grow its brand across Europe and pursue additional value creation opportunities, including M&A in a fragmented market
- The transaction reinforces DC’s deep expertise in the building products sector and specific knowledge of the LED lighting market
“We selected DC based on their sector expertise, prior knowledge of the business and strong existing relationship with the exiting shareholders. Throughout the deal process DC have been first rate providing strong advice, guidance and solid deal execution support to such an extent that they felt truly part of the wider Ambienta deal team.”
“Having advised previously on Baird Capital’s investment in Collingwood, we are proud to have now supported the acquisition by Ambienta, who are ideally equipped to support Collingwood’s next phase of international growth. This transaction demonstrates the strong investor appetite for businesses who have proved their resilience during the pandemic to date and should continue to benefit from the sustained uptick in RM&I activity.”
What to read next
