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Backing you to grow your business

23 Apr 2021

Private equity can provide you with the investment you need to grow your business, your way – no matter the economic climate. You’ll be backed by experienced business partners, there to offer the guidance you need.

This combination of investment and support is what makes private equity so attractive to ambitious management teams. It can help you achieve your ambitious growth plans, whether they’re international, organic or acquisitive.

With 40 years’ experience, LDC will work to understand your priorities and help you choose the right growth strategies for your business.

FIVE STRATEGIES FOR GROWTH

1. Acquire other companies
If you’re looking to acquire another company or continue a buy and build strategy, private equity can help. LDC’s financial investment and M&A expertise can help you identify, acquire and integrate complementary businesses.

FISHAWACK HEALTH: 300% INCREASE IN REVENUE
We backed Fishawack Health’s existing management team in a £38m management buyout in 2017. The team had clear acquisitive ambitions, and partnering with LDC gave them the additional capital and expertise to deliver a rapid buy and build strategy.

During our three-year partnership, we provided a further £18.5m of follow on funding to support the management team to complete five key international acquisitions, including US-based 2e Creative, in August 2019. Between 2017 and 2020, the business increased revenues by 300% and headcount by 250%, firmly cementing itself as a market leader in North America and Europe.

“Our goal is to increase the range of healthcare communications services that we can offer to commercial and medical affairs teams internationally, and with the financial and strategic support of the team at LDC we have been able to do just that.”
Oliver Dennis, Co-founder & CEO, Fishawack Health

2. Expand internationally
International expansion can be an effective way to take your business to the next level. It can help you create partnerships, increase your exports, acquire an international business or establish a new office overseas.

TEXTHELP: EXPANDING OVERSEAS FOOTPRINT
LDC backed assistive technology business Texthelp in May 2019, supporting the management team to accelerate their international organic growth plans and further develop their software proposition.

Texthelp enhanced its market-leading position by expanding its footprint across North America, developing its digital route to market and pricing strategies, and significantly investing in new technology and product development. During the 18-month partnership, revenues increased 40% from £19m to £27m, with a strengthening pipeline of prospective new customers.

“Our partnership with LDC helped us go further, faster. They provided the investment, support and expertise to help us accelerate a truly differentiating digital transformation.”
Martin McKay, CEO, Texthelp

3. Grow organically
Your business is already growing – private equity can help you grow even quicker, while maintaining your unique culture. With LDC, you can be sure you’re being supported over the long-term, so growth is sustainable, even during challenging times. Think of it as your business, only better.

AWAY RESORTS: AMBITIOUS ORGANIC GROWTH
LDC invested £18.5m in a secondary buyout of leading British holiday park operator Away Resorts in 2015. Working in partnership with CEO and Founder Carl Castledine to help him make develop Away Resorts’ existing sites, as well as acquire new ones.

During the first four years of our partnership with Carl and his team, the business invested more than £45m in existing site and added state-of-the-art entertainment complexes, new pitches and facilities. By 2018, revenue had increased to £63m and employee numbers had more than doubled from 450 to 950. We are still a minority shareholder in Away Resorts to support Carl and his team.

“We did spring a very ambitious plan on them and they backed it fully. LDC is flexible, has deep pockets and can provide follow-on funding, which was important to us.”
Carl Castledine, CEO, Away Resorts

4. Make business improvements
Private equity can be a catalyst for positive change – bringing energy, focus and relevant experience to complement your team. LDC’s Value Creation Partners (VCP) are there to help identify and support the delivery of improvements to your operations.

FC BUSINESS INTELLIGENCE: PREPARING FOR A SALE
LDC backed Piers Latimer and his team in a management buyout in 2018. Our partnership supported the organic growth and diversification of the business in preparation for a sale that saw it become Reuters Events.

A key challenge was to optimise FCBI’s pricing process – something that had grown organically with the company. We helped the management team complete some quick and simple steps addressing discounting, group pricing, price monitoring and value-based selling, helping to create a consistent approach to pricing which significantly increased overall revenue.

“The Value Creation Partners’ assistance has been invaluable. Progressing pricing analysis and process adjustment recommendations at the pace we wanted would have been extremely challenging without their involvement.”
Piers Latimer, CEO, FCBI


5. Prepare for an IPO

If listing your business on the stock market is your dream, private equity can be an important stepping stone – or an alternative path in uncertain times. LDC can work alongside you to help make sure your business is fully prepared for an IPO.

TEAM17: FROM INVESTMENT TO IPO
During our partnership, indie games developer Team17 – led by CEO and Founder Debbie Bestwick – continued its significant success, with international sales increasing 40% and both revenues and EBITDA growing by more than 100%.

In 2018, the company announced an IPO, launching onto London’s AIM market, in a £217m listing – raising proceeds of approximately £107.5m. Following the IPO, the business has further accelerated its growth strategy and raised its profile on a global scale.

“We only met with a few people. We were fortunate because everyone tabled offers for what we wanted, so we chose the best partner. LDC brings a globally-recognised name, and they have been really good at connecting us.”
Debbie Bestwick MBE, CEO and Founder, Team17

LDC is sharing inspirational stories from its current and past portfolio company leaders to mark 40 years of backing ambitious businesses across the UK.

Find out more here.

The UK’s leading mid-market private equity house

We’re not your typical private equity house. LDC has a unique model to match the ambitions, values and locations of the management teams we back.

We’ve developed a deep understanding of business through our 40 years of investment experience and our 90-strong portfolio across every sector and region of the UK economy.

Backed by our sole funder Lloyds Banking Group, we have £1.2bn to invest in UK mid-market businesses over the next three years.

  • WE INVEST IN GROWTH – As part of Lloyds Banking Group, we have £1.2bn to invest in UK SMEs in the next three years.
  • WE UNDERSTAND BUSINESS – With 90 companies from every sector of the UK economy in our portfolio, we know an ambitious business leader when we meet one.
  • WE ARE WHERE YOU ARE – Our teams are based in 12 locations across the UK, which gives us a different perspective to other private equity houses.
  • WE ACTIVELY ADD VALUE – We help increase shareholder value for our portfolio companies through our Value Creation Partners team.