Thu, 02 Jun 2016 | MBO/MBI
A £22 million management buyout (MBO) has been successfully completed at a Dorset-based manufacturer of ID and bank card printers.
Magicard, which manufactures secure desktop printers for direct-to-card and retransfer processes, has been taken off the hands of listed defence and security company Ultra Electronics. The cards made by Magicard cover a variety of secure ID and banking cards, such as magnetic stripe, proximity and ‘chip and pin’. The company’s printers are also used by the NHS for staff ID cards.
Magicard chief executive Andy Matko led the MBO, with significant backing from the finance firm LDC. As a result of the initial £22 million deal, senior managers have taken a minority stake in the company, while LDC will take a majority stake. As part of the terms, payments of up to £3 million could be made to former owners if the company grows significantly over the next couple of years.
After completing the MBO, Mr Matko said: "This is exciting news for Magicard and our global network of loyal partners. This deal, along with the recent development of our Helix retransfer printer, gives the management team the opportunity to drive the business forward as owners and unlock the potential of the business, developing new products and targeting new geographies.
"LDC’s investment adds the capital we need to accelerate our expansion, as well as a strategic partner who understands and supports our ambitions for the future."
For more information on the subject of MBOs and other business-buying strategies, see the Business Sale Report resource on what to look out for when buying a business.
A leading engineering firm focusing on electric power steering solutions and bespoke wiring harnesses serving various industries. It operates as two entities both reputable for maintaining high standards and offering bespoke solutions for clients. In...
Market-leading fruit and vegetable supplier distributing fresh produce and complementary goods both wholesale and D2C. The companys uncompromising drive for customer satisfaction has built strong relationships with across an enviable client base incl...
Turnkey construction services provider completing a range of projects with expertise across maintenance general refurbishment new build and conservation including work on listed buildings. The company provides full-service construction works utilisin...
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.