Sandland Packaging under new ownership following £5.5million FDC and IGF investment
Sandland Packaging is under new ownership following a £5.5 million investment from Frontier Development Capital (FDC) and Independent Growth Finance (IGF)
The Buy-In Management Buyout (BIMBO) will see Andy Sandland, the founder and majority shareholder of Sandland Packaging exit the Bilston-based business. The management team will be led by husband and wife team Martin and Jo Hickman, Andy Batha also joins the management team as Sales Director with Robin Welch, formerly of GI Solutions Limited (Now Go Inspire) joining the board as Chairman.
Sandland Packaging was established over 30 years ago and specialises in the production of cardboard packaging for customers across the UK. The firm operates a complete service, including packaging design, manufacture and delivery through its fleet of lorries.
The company has seen strong growth in recent years as the advantages of cardboard as a sustainable packaging solution are increasingly recognised – it is estimated that 84% of cardboard is currently recycled in the UK.
Robin Welch, Chairman of Sandland Packaging, said: “This change of ownership marks the start of an exciting new chapter for Sandland Packaging. We are planning to build on the solid foundations laid by the previous owner and founder, while pursuing emerging opportunities in the cardboard packaging sector driven by the rise in product shipping and the growing appeal of cardboard as a sustainable packaging option. The funding from FDC and IGF has been instrumental in providing the capital needed to complete the transaction and we look forward to working with both parties, we plan to expand Sandland’s service and products for new and existing customers.”
Frontier Development Capital is a national fund manager supporting businesses with growth capital investments of up to £7 million.
Simon Kelsall, Investment Director at Frontier Development Capital, said: “As a leading national supplier of cardboard boxes, Sandland Packaging is well-positioned for future growth. The firm’s experienced management team has the ability to provide a full service offering to its customers from product design through to delivery. This, combined with a reputation for on time fulfilment, have been important factors in building its strong customer base and industry stature. The funding package FDC has provided, supports both new and existing management in taking ownership of the firm. We look forward to working with the team over the coming years to deliver the opportunities ahead of them.”
Paul Edmeades, ABL Director at Independent Growth Finance said: “We are delighted to be working alongside the new management team in what is a highly successful business. Our revolving and term facilities will give the business a strong financial platform to focus on future growth.”
Frontier Development Capital was advised by The Wilkes partnership LLP, Newco by Lodders Solicitors and IGF by Shoosmiths. Mazars provided financial due diligence on the deal. The vendors were advised by Pippa Hawkes of BSN Chartered Accountants.
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