Turner Parkinson’s Corporate Team Advise on Acquisition by Employees

Turner Parkinson have advised Capital for Colleagues on the acquisition by an employee ownership trust (EOT) of Cotswold Valves Limited.  Capital for Colleagues provided funding for the transaction, and has taken a 49% equity stake in the business.

Cotswold Valves Limited, based at Stonehouse, supplies specialist valves for a range of process industries, predominantly in the UK.  

Stephen Hadlow and Robin Hastings from the Corporate team worked on the transaction. Stephen commented: “We are delighted to have supported Capital for Colleagues on its investment in CVL.  Through our continued close association with Capital for Colleagues, we now have a growing reputation for delivering transactions through employee takeovers.  The EOT structure has enabled CVL’s retiring owner a tax neutral process for transferring the company to its employees, and through the investment and support provided by Capital for Colleagues, a strong internal business culture and ethos will help drive increased productivity for the business.”

Capital for Colleagues is a listed investment company focused on the Employee Owned Business sector. Chief executive, John Eckersley commented: “This investment is a further example of the evolution of our investment strategy, as we focus on acquiring direct equity stakes and delivering change through employee ownership.  Turner Parkinson’s pro-active approach was key to delivering this deal for us, and Stephen and his team continue to provide our business with expert advice and support in this specialist area.”

Stephen Hadlow, Partner, specialises in Employee OwnershipTurner Parkinson is a member of the Employee Ownership Association, and, since 2013, the team have worked with over 15 businesses which have transitioned to Employee Ownership.