Benchmark International is pleased to announce that it has successfully facilitated an £8m deal between Total Resources and Mercia.
Founded five years ago after Managing Director, Les Thompson, acquired the assets of Lincolnshire-based Traffic Control and Management, South Tyneside-based Total Resources now operates across five depots throughout the UK, employing around 140 people and offering all aspects of traffic management.
A rapidly growing business, Total Resources was the winner of the fastest growing small business award at the annual Fastest 50 event at the end of 2018. Turnover has soared on a local level due to work at major concerts for Rihanna, Take That, and Bruce Springsteen, and the forthcoming Spice Girls tour, all at Sunderland’s Stadium of Light.
Mercia, provider of both equity and debt finance to small businesses based in the UK, will now allow Total Resources to expand throughout the UK.
The £8m deal for Total Resources has been a syndicated investment across three different funds bringing its venture, debt and growth investment teams together in a single transaction.
Following the acquisition, one of the businesses founders, John Smart, will exit the business, while Les Thompson will remain as Managing Director to assist in the firm’s growth plans, including the planned expansion of the existing depot network across the UK.
Mr Thompson said: “The Mercia Fund Managers buyout is the largest transaction they have ever done - that’s not bad for a small business from the North East.
We will grow and take on more staff as we grow. Hopefully we will open four or five more depots in the next 12 to 18 months, and we’re targeting Wales and the South West. All in all, that could create as many as 100 jobs.”
Regarding dealing with Benchmark International, Mr Smart said: “The process with Benchmark International was excellent from start to finish – from initially generating a range of interested parties and sourcing the eventual buyer, Mercia, through to the team’s invaluable help on everything including financial reporting, the due diligence phase and negotiating the deal.
We were impressed by the professionalism and knowledge that the team at Benchmark International contributed to this process and we would like to thank them for the huge amount of time and effort that they put into the deal.”
Nick Hulme, Managing Director at Benchmark International, commented: “We are delighted to have led the sale of Total Resources and wish our clients all the very best in the exciting journey ahead”.
The sellers were also advised by Freeman Fisher LLP as their lawyer.
On behalf of everyone at Benchmark International, we would like to wish both parties every success for the future.
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Call Benchmark International today if you are interested in an exit or growth strategy or if you are interested in acquiring.
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ABOUT BENCHMARK INTERNATIONAL
Benchmark International’s global offices provide business owners in the middle market and lower middle market with creative, value-maximising solutions for growing and exiting their businesses. To date, Benchmark International has handled engagements in excess of $5B across 30 industries worldwide. With decades of global M&A experience, Benchmark International’s deal teams, working from 13 offices across the world, have assisted hundreds of owners with achieving their personal objectives and ensuring the continued growth of their businesses.