Case Studies

Entrepreneurs Hub advises on the sale of PA Group to RSK Group

by Malcolm Murray

Posted 2020

Type of business:
Asbestos Inspection, Testing, Removal Specialist and Remediation

Location:
Kent, UK

Sale Value:
Undisclosed

Situation

Established in 2007 PA Group UK Ltd are a multi-disciplined HSE licensed asbestos removal and UKAS accredited asbestos inspection and testing contractor, providing clients in the public and private sectors, a flexible and comprehensive portfolio of asbestos services.

The company prides itself on protecting the best interests of their clients and their associated parties through sharing their professional knowledge and overseeing its implementation through revised best practice.

Fully committed to ensuring clients fully understand their duty to manage asbestos and assist them in legislative compliance with the latest regulations (CAR 2012).

The companies service portfolio has evolved to reflect the demands of the modern built environment, and the individual requirements of their clients.

The asbestos industry is highly regulated and driven by ever increasing legislative standards. Recognising the potential to expand, PA Group UK Ltd CEO Chris Miller- Hanna sought the help of Entrepreneurs Hub to find a buyer who could incorporate their offering into a wider organisation, so that the business could evolve in new directions, reassured by the knowledge that Entrepreneurs Hub had experience in this sector.

Requirements

The owner Chris Miller-Hanna knew this was the right time to sell his business
Identify an organisation with the scope to take PA Group UK Ltd services to a wider market by acquiring them
Find a buyer with shared values of technical excellence and professionalism
Understand how to capitalise on the needs of a demanding and highly regulated market
Help with navigating every stage of the pre-sale and sale process, including valuation, marketing, due diligence, negotiation, and agreement of the final deal

Solutions

Entrepreneurs Hub Directors helped PA Group UK Ltd achieve a successful deal using the following process:

Devised a tailored plan for exit following a ‘discovery day’ to learn about all facets of the business
Researched and shortlisted potential acquirers in the fire protection space
Created an information memorandum, teaser letter and presentation to enhance acquirer interest in the business
Approached approved targets anonymously to gain interest
Secured a non- disclosure agreement (NDA) to enable the release of the information memorandum to approved targets
Arranged and chaired meetings between a top Deal Director from Entrepreneurs Hub and interested buyers
Closely evaluated multiple offers to establish the preferable choice of buyer, which led to further negotiations to maximise those offers
Agreed heads of terms
Finalised a successful sale to RSK Group, a multidisciplinary engineering and environmental consultancy and provider of technical support services

Results

Successful sale – PA Group UK Ltd sold to RSK Group a multidisciplinary engineering and environmental consultancy and provider of technical support services with an extremely strong presence in the UK
New opportunities for PA Group UK Ltd awaits as they become part of a national player specialising in environmental science, research, engineering and technical services.
Able to realise their potential in this highly regulated industry with the support of a larger group
Enhanced profile and portfolio for RSK Group – continued investment in UK companies such as PA Group UK Ltd, further demonstrates their growth aspirations and a leading provider of multidisciplinary environmental services
Aligned values of technical excellence and professionalism will create a positive opportunity for further growth

The Team

Malcolm Murray, Director and Co-Founder

Malcolm is an established corporate finance consultant, entrepreneur and accomplished motivational speaker who has who has had direct involvement in supporting the sale of 45 businesses. He leads regular seminars such as ‘Preparing and Selling a Business the Right Way: Vital Steps in Building Value’. He has consulted with over 1,000 business owners considering selling companies of all sizes.

30 years’ experience in business growth roles in the Mergers & Acquisitions (M&A), Business Consultancy, Manufacturing, Engineering, Information Services, Automotive, Retail and Construction sectors
Former Senior Manager and Group Board Director of a leading international M&A business
A founding member of a successful company with James Caan (ex-Dragons’ Den), CEO of Hamilton Bradshaw Private Equity (HBPE)
Co-founder of FI, an Information Service for the Engineering and Manufacturing sectors, which he grew from 4 to 165 people, operating in the UK, the USA and Germany (27% for $10.8m)
Active community volunteer and trainer for Basingstoke Street Pastors and Ascension Trust

Andrew Shepperd, Director and Co-founder

Andrew is a successful entrepreneur, mentor, lecturer and specialist in both buy and sell-side transactions, including IPfocused sales. He oversees the Entrepreneurs Hub deal-making team and has first-hand knowledge of selling and acquiring businesses, including post-acquisition integration. Andrew has over three decades’ commercial leadership experience.

Former MD of Avaya and Azlan and main board member of TechData UK
Lecturer on M&A and Investment and Advisory Board Member of the Imperial College London Global MBA and Entrepreneurship MSc programme
Mentor to MassChallenge, Microsoft Ventures Accelerator and the Swiss Embassy in London
Has coached over 100 organisational leaders on communication strategy, turnaround, profit & revenue growth, and business operations, including not-for-profit organisations such as Buckinghamshire County Council and UK National Police College
Leader of 5 organisational turnarounds for Nasdaq and NYSE quoted companies

Let’s talk about how we can help you get ‘exitready’ and sell your business for maximum value. Make a confidential, no obligation call to one of our directors on : 0845 067 8678 or email: info@entrepreneurshub.co.uk

I am excited about being part of a larger group which will provide support and cross selling opportunities. This is a positive development for the company and our employees to be part of a leading and very successful multidisciplinary engineering and environmental consultancy and provider of technical support services.

Chris Miller-Hanna

CEO PA Group UK Ltd

Being part of Scutum Group is a great opportunity for the Elite Fire Protection team to further accelerate our growth with the support of a leading international brand. I would like to thank Entrepreneurs Hub and have no doubt that partnering with them added significant value to the business and helped us achieve our goal - finding the perfect acquirer for our business.

Darrel Jones

Managing Director, Elite Fire Protection

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We entered this process with no prior experience so the support we got from Entrepreneurs Hub was invaluable. Exiting your business can be a tough road so we needed their knowledgeable advisors alongside us to overcome challenges, knock backs, and get through prolonged negotiations and uncertain circumstances to get the deal over the line. “Our advice to another business owner selling a company would be to find an advisor you trust, with business experience - not just a broker. Entrepreneurs Hub had our company’s best interests at heart throughout the whole process of selling our business for optimum value – and preparing it for that sale. They really understood our company and our future goals. “With their vast network of contacts, we found an overseas buyer that we never would have known about otherwise - one we felt proud to sell our business to. We’ve been rewarded, our business and staff are secure and we are on our countdown to retirement now. Very happy!

Noel Sheppard

Founder of Distec Ltd

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Entrepreneurs Hub team were fantastic. They put in a tremendous amount of effort throughout the process but especially towards the end once we had interest from a few parties, several of whom were overseas, Andrew was putting in long phone calls late into the night as he negotiated on our behalf to get the best possible terms. Once we accepted an offer, things intensified even more as we went through due diligence and were still negotiating details of the financials. Entrepreneurs Hub were there guiding us throughout the process and I really felt we were working together as a team. We could never had sold the business without their help. Even the company that bought us and had experience of several previous acquisitions complemented us on how professional and organised and easy to deal with our advisers were that made the whole process very smooth

Rolf Howarth

Founder & CTO Square Box Systems Ltd

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