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Centric Commercial Finance provides asset based lending facility to fund BIMBO of Air Parts Ltd
Centric Commercial Finance has provided an asset based lending facility to finance a BIMBO (management buy in buyout) of Surrey based Air Parts Ltd.
The finance facility funds an innovative BIMBO of Air Parts Ltd, and will see a “drop-in” management team work alongside the existing team, which includes industry heavyweights, Managing Director Charles Hammond, Purchasing Director Sandra Marshall and Sales Director Adrian Jobsz. The BIMBO is the first of its kind for SG Berkshire which is looking for other ethical acquisitions of companies whose owners are looking to retire.
Commenting on the deal, Stephen Greenwood, CEO at Air Parts Ltd and Partner at SG Berkshire Ltd, said “Since the global recession set in, bank lending has been squeezed and a major problem for business owners from the baby-boom generation today is transfer failure. My acquisition business is about countering this through ethical management involved buyouts and acquisitions, whereby a fair price is paid for the company, jobs are not lost and the business is protected from takeover. Centric Commercial Finance demonstrated a technical innovation and an unparalleled commercial expertise, to produce the most cost effective capital structure.”
“We were pleased to be working on an innovative deal within the aerospace industry. The structure was complex and we created a facility which crossed two product streams and therefore two separate profit centres within the business, said Andrew Rutherford, Business Development Director at Centric Commercial Finance.
“We were able to produce a highly competitive rate which has allowed for an equity efficient structure, whereby management staff at Air Parts will receive higher levels of equity,” he continued.
Air Parts has been trading since 1989 as a procurement and logistics service provider to the Aerospace and Defence Industry and has established a worldwide network of quality approved suppliers, which includes BAE Systems. Air Parts Ltd also sources and produces general airport products, printed circuit boards and other high tech components for commercial and military aircraft, including the Eurofighter Typhoon and BAE Sytems’ Hawk jets.