Researched and compiled by BUYOUT TRACK

February 6, 2011

The credit crunch forced private equity firms to return to Private equity backed their old strengths in restructuring the companies they companies with the fastest bought — and it is working, reports Catherine Wheatley growing profi ts

fter its leveraged rise and calamitous fall in the wake of the banking crisis, the private- equity industry is taking a more measured approach to achievingA returns. Cheap debt, quick flips and headline- grabbing deals have all but disappeared. Instead, the industry is rediscovering its traditional strengths — driving strategic and operational improvements at portfolio companies. This year’s Sunday Times Deloitte Buyout Track 100 is a portrait of private- equity-backed firms in the middle of the banking meltdown. The unique research, which measures the performance of port- folio companies by profit growth over the latest two financial years — rather than returns achieved on exit — covers the final months of expansion followed by recession and early recovery. The fifth annual league table, compiled by the Oxford-based research and networking-events company Fast Track, ranks businesses with the fastest-growing profits under £50m, in which private equity holds a stake of at least 20%. Half of this year’s firms have been rated on their performance between 2007 and 2009; the other half on that between 2008 and 2010. Despite the intense focus on cost- cutting through the downturn, the research confirms that the industry has

FAST TRACK

THE Buyout Track 100 league table and events programme is produced by Fast Track, Britain’s leading networking-events company focusing on top-performing private companies and entrepreneurs. Fast Track researches and publishes seven annual league tables with The Sunday Times, ranking the fastest- growing to the biggest private companies, and runs invitation-only events and dinners for entrepreneurs to network and meet our sponsors. created new jobs and additional sales at its portfolio companies. Buyout Track 100 firms have increased their profits by an average of 48% per annum over their latest two financial years, to a combined ebitda (earnings before interest, tax, depreciation and amortisation) of £1.4 billion, up slightly on last year’s £1.3 billion. Together, their sales total £9.2 billion, up from £6.8 billion over the period. They have added 16,198 jobs to payrolls, although many of these positions are the result of acquisitions. A quarter of all companies on this year’s league table have completed mergers or bolt-on deals to drive growth. Some, such as Tangerine Confectionery (No 20), have acquired rivals. In 2008, the business, In association with backed by Growth Capital Partners, paid £58m for the Cadbury division that makes Butterkist popcorn. Others have pursued buy-and-build strategies. For example, Aesica Pharmaceuticals (No 3) has acquired three drug manufacturers with backing from LDC, the mid-market private- equity house that is part of Lloyds Banking Group Healthcare and education companies that provide services to the public sector have been particularly acquisitive, reflecting, perhaps, the desire to achieve efficiency through consolidation. Of the 15 ners completed a £325m secondary buyout Promethean, which makes classroom this year’s No 1 company, became the Cycles (No 4) to fashion chains Jack Wills highlights the private-equity firms and such firms on the league table, five, of Deb Group (No 57), maker of Swarfega whiteboards, and Betfair, the online latest private-equity consortium to an- (No 36) and Kurt Geiger (No 99). Manufac- managements that have transformed including Lifeways Community Care hand-cleaner. gaming group on last year’s 10 Biggest list, nounce a high-profile exit. Index Ven- turers, including Survitec (No 55), which promising ventures into mid-market (No 12) and Teaching Personnel (No 81) Vector Capital completed the league both floated on the stock market. As Jon tures, Balderton Capital and others have makes safety and survival equipment, and powerhouses. LDC is this year’s have snapped up competitors. table’s latest public-to-private deal when it Herbert of Lloyds Bank Corporate Markets agreed to sell their stake to the world’s yacht builder Oyster Marine (No 88) best-represented house, with 10 portfolio It comes as no surprise that improving acquired Trafficmaster, the quoted fleet- explains on page 4, bank lending for the largest online retailer, Amazon, for a account for a further 15 slots. companies on the league table. Barclays profit margins has proved tough through management-software group in an £87m right deals should improve this year. reported £200m. Chief executive Simon Once again, many of this year’s firms are Private Equity, Bowmark Capital and the recession. While average margins grew deal. Mark Pacitti and Chris Hyams of Several league-table entrepreneurs, Calver has driven impressive growth, gath- in counter-cyclical or recession-proof sec- Inflexion Private Equity each have four. from 10% to 15% over the period, the figure Deloitte examine the buyout market in including Cath Kidston, whose eponymous ering 1.4m subscribers and boosting profits tors. Discount retailers such as Poundland But the league table also reveals that is down on the 20% recorded last year. more detail on pages 3 and 10. homeware business is at No 18, and Mark by 284% a year from £1.1m in 2007 to £16m (No 46) and 99p Stores (No 84) have fared even profitable mid-market companies are More encouragingly, there has been a Exits are also up as private-equity houses Neale, who started the outdoor-equipment in 2009. Skillcapital’s Tim Macready dis- well, as have businesses that collect debt still carrying considerable debt. Seven sharp rise in buyout activity among league- come under pressure to return cash to inves- retailer Mountain Warehouse (No 45), have cusses how experienced managers can such as Marlin Financial Group (No 15) and reported debts of more than £200m in their table firms, thanks to an uptick in bank tors, with 12 backers of last year’s Buyout completed partial exits and realised some steer portfolio firms to success on page 6. Apex Credit Management (No 59). latest accounts, while the average figure, at lending. Last year, 27 companies received Track 100 firms getting out in 2010, against of the wealth they have created. Michael Lovefilm.com is one of 51 service-sector Many of the firms are showing long- £56m, is four times average profits. private-equity backing, up from 10 on last a comparable figure of only three last time. Bishop of UBS Wealth Management con- firms on the league table, reflecting term sustainable growth, with Wood Mac- As the threat of a double-dip recession year’s list. The shoe-store chain Office Of these, half were trade sales, including siders exit strategies for founders in more Britain’s broader economic landscape. kenzie (No 63) and Castlebeck (No 72) returns, private-equity-backed firms such (No 39) was acquired by Silverfleet Capital Lion Capital’s disposal of crisp maker Kettle detail on page 8. Retail is also strongly represented, with 28 having appeared on all five Buyout Track as those on the Buyout Track 100 are going for a reported £140m in December, for Foods to the American business Diamond Only two weeks ago, the backers of the companies, ranging from leisure equip- 100 league tables. back to basics. Paying down debt and example, while Charterhouse Capital Part- Foods for $615m (£402m). Apax-backed online DVD rental service Lovefilm.com, ment stores Go Outdoors (No 2) and Evans Every year, the Buyout Track 100 driving up profits will be the key to success. 2 BUYOUT TRACK 100 Private equity backed firms with fastest growing profits

Activity Rank 2011Rank 2010Company Location of HQ Financial year endAnnual profit growth Latest profit, £000s Base-year profit, £000sLatest sales, £000sStaff Main shareholders Page 1 3 Lovefilm.com Online DVD rental provider West London Dec 09 283.72% 15,961 1,084 97,170 427 Private-equity consortium (38%), Amazon (45%), management and others (17%) 3 2 40 Go Outdoors Outdoor equipment retailer Sheffield Jan 10 114.04% *6,617 1,444 *74,005 497 YFM Group (21%), management (79%) 3 3 50 Aesica Pharmaceuticals Pharmaceuticals manufacturer Newcastle Dec 09 105.74% 14,700 *3,473 84,600 615 LDC (60%), management (40%) 3 4 Evans Cycles Bicycle retailer West Sussex Oct 09 103.83% 6,054 1,457 72,969 715 Active Private Equity (70%), management and others (30%) 3 5 Celerant Consulting Operational management consultancy Richmond Dec 09 100.31% 7,483 1,865 122,729 571 Caledonia Investments (47%), management (53%) 3 6 XLN Telecom Telecoms services provider Central London Mar 10 100.11% 11,572 2,890 54,862 153 ECI Partners (above 50%), management (below 50%) 3 7 Hellermann Tyton Cable manufacturer Manchester Dec 09 90.77% 7,435 2,043 37,753 427 Doughty Hanson (100%) 3 8 Acturis Software services provider Central London Sep 09 88.24% 5,750 1,623 14,083 110 Summit Partners (above 20%), management (below 80%) 3 9 United House Group Building contractor Kent Dec 09 86.71% 11,169 3,204 159,645 466 LDC (40%), management (60%) 3 10 DWS Bodyworks Car repairer Essex Sep 09 84.13% 4,135 *1,220 36,755 379 Risk Capital Partners (60%), management (40%) 3 11 1 Skrill Online payment provider Central London Dec 09 81.73% 18,956 5,740 42,655 317 Investcorp (51%), founders and management (49%) 4 12 32 Lifeways Community Care Community care provider Southwest London May 10 76.83% 6,983 *2,233 57,875 3,009 August Equity (78%), management (22%) 4 13 29 Achilles Group Procurement consultancy Abingdon Apr 10 74.00% 10,636 3,513 37,979 579 Hg Capital (69%), management (31%) 4 14 Quantum Pharmaceutical Pharmaceutical manufacturer County Durham Jan 10 73.98% 7,328 2,421 29,983 180 LDC (47.5%), management (52.5%) 4 15 Marlin Financial Group Debt purchaser West Sussex Dec 09 70.09% 6,706 2,318 11,542 68 Duke Street Capital (58%), management (42%) 4 16 46 Kelway IT services provider Central London Mar 10 67.25% 8,408 3,006 178,140 355 Core Capital (25%), management and staff (75%) 4 17 63 Rixonway Kitchen maker West Yorkshire Feb 10 67.21% 5,113 1,829 28,811 430 August Equity (60%), management (40%) 4 18 Cath Kidston Lifestyle retailer Central London Mar 10 66.56% 8,785 3,167 50,369 383 TA Associates (62%), Cath Kidston (21%), management (17%) 4 19 Nexus Industries Electrical products supplier Telford Dec 09 66.28% 4,075 1,474 44,537 248 Epic Investments (49.9%), managment (50.1%) 4 20 47 Tangerine Confectionery Confectionery maker Blackpool Dec 09 65.14% 13,109 4,807 154,549 1,343 Growth Capital Partners (41%), management (40%), others (19%) 4 21 Worldmark Identification systems developer Lanarkshire Dec 09 65.11% 13,432 4,927 73,051 1,413 Barclays Private Equity (70%), management (30%) 4 22 5 UPP University accommodation provider Central London Aug 10 63.20% †41,585 15,614 †84,219 353 Barclays Infrastructure Funds (100%) 4 23 DCK Jewellery retailer Essex Jan 10 60.56% 19,560 7,587 190,498 1,953 Caird Capital (20%), management and others (80%) 4 24 44 Inchcape Shipping Services Marine services provider Essex Dec 09 58.97% 41,546 16,440 322,114 3,568 Istithmar World Capital (85%), management and staff (15%) 4 25 Aim Aviation Aircraft interior designer Bournemouth Apr 10 58.41% †13,300 5,300 †69,200 800 LDC (above 50%), management (below 50%) 4 26 Bounty Pregnancy and parenting club Welwyn Garden City Dec 09 56.69% 8,289 3,376 30,292 688 Barclays Private Equity (63%), management (37%) 5 27 Data Explorers Financial data provider Central London Jun 10 55.98% †4,825 *1,983 †17,490 100 Bowmark Capital (51%), management (49%) 5 28 Thompson & Morgan Garden seed supplier Ipswich Jun 10 55.57% 3,899 1,611 40,602 294 Primary Capital (52%), management (48%) 5 29 Quantel Broadcasting technology provider Newbury Sep 09 54.61% 4,480 1,874 39,093 243 LDC (55%), management and staff (45%) 5 30 Gamma Telecom Telecoms network operator Newbury Dec 09 54.49% 6,540 2,740 141,292 263 Kerry Group (46%), Michael Stone (24%), Sofaer Capital (21%), others (9%) 5 31 11 Cognita Schools operator Milton Keynes Aug 09 54.40% 26,632 11,171 138,618 2,937 Bregal Capital (81%), management (19%) 5 32 49 Wiggle Online sports goods retailer Portsmouth Jan 10 52.90% 7,402 3,166 55,597 92 Isis Equity Partners (48%), management (52%) 5 33 JHP Group Training services provider Coventry Jul 10 51.87% †10,158 4,404 †62,642 1,400 LDC (78%), management (22%) 5 34 Thomsons Online Benefits Employee benefits software developer Central London Dec 09 50.45% 3,434 1,517 16,319 132 Pi Capital (48%), Michael Whitfield (29%), Chris Bruce (23%) 5 35 Hobbycraft Group Craft goods retailer Dorset Feb 10 48.97% 12,155 5,477 84,366 1,538 Bridgepoint (above 50%), management and others (below 50%) 5 36 22 Jack Wills Fashion retailer Northwest London Jan 10 47.98% 10,156 4,638 64,764 1,286 Inflexion Private Equity (27%), management (73%) 5 37 Engine Group Marketing agency Central London Dec 09 47.98% 13,038 5,954 59,102 540 HIG Capital (38%), management and staff (47%), institutional shareholders (15%) 5 38 74 FDM Group IT services provider Brighton Dec 10 46.39% †11,277 5,262 †83,736 784 Inflexion Private Equity (61.5%), management (38.5%) 5 39 93 Office Shoe retailer Central London Jan 10 45.00% *18,388 8,746 *142,923 1,748 Silverfleet Capital (95%), Brian McCluskey (5%) 5 40 51 Tinopolis Film and television producer South Wales Sep 09 44.28% 6,926 3,327 65,750 389 Vitruvian Partners (70%), management (30%) 5 41 Britax Childcare Child car seat maker Surrey Dec 09 44.14% 36,161 17,405 202,872 1,010 Nordic Capital (above 50%), management (below 50%) 5 42 ATP International Business travel agency Central London Dec 09 43.99% 15,731 *7,587 74,606 1,040 Barclays Private Equity (60%), management (40%) 6 43 99 Attenda IT services provider West London Dec 09 43.67% 5,668 2,746 33,186 209 M/C Venture Partners and Phoenix Equity Partners (52%), management (48%) 6 44 CPL Industries Solid fuels supplier Chesterfield Mar 10 40.74% 20,600 10,400 132,800 549 Royal Bank of Scotland (46%), Vision Capital (39%), management (15%) 6 45 23 Mountain Warehouse Outdoor clothing retailer Central London Feb 10 40.39% 9,038 *4,585 47,534 654 LDC (below 50%), management (above 50%) 6 46 92 Poundland Discount retailer West Midlands Mar 10 40.02% 30,053 15,328 509,791 6,702 Warburg Pincus (76%), management (24%) 6 47 Adelie Food Food producer and distributor Milton Keynes Oct 09 39.97% *12,804 6,535 *231,270 3,248 Duke Street Capital (above 50%), management (below 50%) 6 48 Republic Fashion retailer Leeds Jan 10 39.73% 33,588 17,202 173,302 2,459 Texas Pacific Group (above 50%), management (below 50%) 6 49 LGC Analytical services laboratory Southwest London Mar 10 38.85% 20,731 10,753 123,569 1,332 Bridgepoint (above 50%), management (below 50%) 6 50 A-Gas International Chemicals and gases distributor Bristol Dec 10 38.51% †10,300 5,369 †52,000 130 Growth Capital Partners (40%), management (60%) 6 51 Las Iguanas Restaurant operator Bristol Mar 10 38.10% 4,050 *2,123 29,753 754 Bowmark Capital (52%), Eren Ali (23%), current and former management (25%) 6 52 Inexus Gas transportation operator Cardiff Jun 10 38.08% †43,531 22,831 †60,007 249 Challenger Infrastructure Fund (83%), others (13%), management (4%) 6 53 41 Weldex Crane hirer Inverness Nov 09 36.64% 14,277 7,647 27,201 128 Dunedin Capital Partners (58%), McGilvray family (37%), NVM Private Equity (5%) 6 54 17 Ultimate Products Homeware designer and sourcer Manchester Jul 10 35.89% †6,790 3,677 †78,264 224 LDC (46%), management (54%) 6 55 95 Survitec Group Safety equipment maker Belfast Mar 10 35.32% 34,814 19,013 161,951 1,270 Warburg Pincus (above 20%), management (below 80%) 6 56 66 National Fostering Agency Foster care agency West London Mar 10 35.00% 10,260 5,630 53,908 200 Sovereign Capital (50%), Edwina Beech (21%), Michael Lovett (21%), staff (8%) 6 57 Deb Group Skincare product maker Derbyshire Dec 09 34.43% 35,534 19,663 140,120 688 Charterhouse (80%), management (20%) 6 58 DC Leisure Management Leisure facility operator Surrey Mar 10 34.07% 13,648 7,593 103,858 1,871 Sovereign Capital (70%), management (30%) 7 59 Apex Credit Management Debt purchaser Stratford-upon-Avon Dec 09 33.90% 3,620 2,019 24,007 195 Anacap Financial Partners (100%) 7 60 Griffin Marine Travel Marine travel agency Central London Dec 09 33.11% 12,673 7,152 24,751 503 Inflexion Private Equity (25%), management (75%) 7 61 Adapt Managed services provider Central London Jun 10 32.94% †3,137 1,775 †30,647 85 Private-equity consortium (25%), management (75%) 7 62 2 Callcredit Information Group Business risk evaluator Leeds Dec 09 31.75% 11,747 6,767 53,645 642 Vitruvian Partners (above 50%), management (below 50%) 7 63 69 Wood Mackenzie Energy research consultancy Edinburgh Dec 09 31.42% 48,500 28,080 108,263 700 Charterhouse (77%), management and staff (23%) 7 64 MandMDirect.com Online discount retailer Herefordshire Feb 10 30.29% 14,299 8,423 107,822 588 TA Associates (78%), management (22%) 7 65 43 EIC Building services provider West Midlands Dec 09 30.11% 7,830 4,625 93,287 617 MML Capital (67%), management (33%) 7 66 FMG Support Fleet management services provider Huddersfield Sep 09 29.93% 4,447 2,634 78,757 419 Spirit Capital Partners (40%), N Brown (40%), other management (20%) 7 67 36 Frozen Value Value food retailer Barnsley Jan 10 29.78% 3,077 1,827 51,013 830 3i (40%), management (60%) 7 68 Leaders Lettings Residential letting agent Worthing Mar 10 29.73% 4,146 2,464 24,209 466 Bowmark Capital (71%), management (29%) 7 69 CastleCare Youth care homes operator Northamptonshire Dec 09 29.64% 3,419 2,034 20,247 456 Baird Capital Partners (72%), management (26%), others (2%) 7 70 Rosemont Pharmaceuticals Liquid pharmaceuticals manufacturer Leeds Dec 09 29.45% 17,971 10,724 37,019 208 CBPE Capital (80%), management (20%) 7 71 The Original Factory Shop Discount retailer Burnley Mar 10 29.19% 14,892 8,923 116,853 2,500 Duke Street Capital (70%), management (30%) 7 72 67 Castlebeck Specialist healthcare provider Darlington Dec 09 28.76% 31,266 *18,857 85,225 1,908 Lydian Capital Partners (80%), management (20%) 7 73 Zenith Provecta Vehicle leasing services provider Leeds Mar 10 28.63% 8,888 *5,372 125,387 157 Morgan Stanley Private Equity (60%), management (40%) 7 74 10 Wireless Infrastructure Group Wireless tower operator Lanarkshire Dec 09 28.18% 10,815 6,582 17,120 29 Royal Bank of Scotland (43%), Penta Capital (22%), other investors (35%) 8 75 87 Dunlop Aircraft Tyres Aircraft tyre manufacturer Birmingham Dec 09 27.69% 7,321 4,490 30,727 314 AAC Capital Partners (75%), management (25%) 8 76 96 National Accident Helpline Legal services marketing agency Northamptonshire Dec 09 26.92% 9,026 5,603 29,028 54 LDC (30%), Inflexion Private Equity (30%), management (40%) 8 77 Civica IT services provider Southwest London Sep 10 26.90% †28,705 17,826 †170,291 1,548 3i (74%), management (26%) 8 78 Arthouse Home decoration supplier Lancashire Dec 09 26.80% 3,564 2,216 20,827 50 Total Capital Partners (43%), management (57%) 8 79 Innovia Films Film manufacturer Cumbria Dec 09 26.75% 45,573 28,368 307,864 1,376 Candover (84%), management (16%) 8 80 i2 Software developer Cambridge Dec 09 26.62% 12,833 8,004 27,963 163 Silver Lake Sumeru (70%), management (3%), others (27%) 8 81 84 Teaching Personnel Supply teacher recruiter Welwyn Garden City Nov 09 26.37% 5,728 3,587 46,337 192 Graphite Capital (64.5%), management (35.5%) 8 82 100 Yo! Sushi Japanese restaurant operator Central London Nov 09 25.92% 6,361 4,012 41,700 1,149 Quilvest Private Equity (71%), management (29%) 8 83 82 Dreams Bed retailer High Wycombe Dec 09 25.48% 25,121 15,955 243,570 1,774 Exponent (above 50%), management (below 50%) 8 84 99p Stores Discount retailer Northampton Jan 10 25.31% 4,523 2,880 183,472 2,156 Barclays Ventures (25%), Lalani family (51%), others (24%) 8 85 72 Microlease Electronic equipment provider Northwest London Feb 10 25.26% 13,496 8,601 29,772 120 LDC (71%), management (29%) 8 86 Andrew Page Vehicle component distributor Leeds May 10 25.24% 13,017 8,299 111,501 1,168 Phoenix Equity Partners (above 50%), management (below 50%) 8 87 Tobar Group Toy and gift retailer Suffolk Jun 10 25.00% 3,274 2,095 51,915 488 Primary Capital (50%), management (50%) 8 88 Oyster Marine Yacht builder Ipswich Dec 09 24.92% 7,414 4,751 53,834 254 Balmoral Capital (99%), management (1%) 8 89 Hotter Comfort Concept Footwear retailer Lancashire Jan 10 24.88% 8,814 5,652 44,456 354 Gresham Private Equity (45%), S Houlgrave (45%), management (10%) 9 90 M&C Energy Group Energy consultancy Fife Jun 10 24.77% †3,887 2,497 †25,473 330 Lyceum Capital (67%), management (33%) 9 91 Danwood Group Office equipment supplier Lincoln Sep 09 24.69% 17,423 11,207 194,072 1,295 Bregal Capital (40%), management (60%) 9 92 27 Healthcare Homes Care provider Essex Sep 09 24.58% 5,787 3,729 28,997 942 Bowmark Capital (80%), management (20%) 9 93 Anglian Group Home improvement products supplier Norwich Mar 10 24.55% 14,739 9,501 209,228 2,056 Consortium of financial institutions (95%), management (5%) 9 94 Azzurri Communications Telecoms services provider Walsall Jun 10 24.33% †14,452 9,349 †141,056 721 Silverfleet Capital (65%), management (35%) 9 95 Tuffnells Parcels Express Express parcel courier Sheffield Dec 10 23.81% †11,400 *7,437 †103,100 1,800 Caird Capital (30%), management (70%) 9 96 Brighthouse Household goods retailer Watford Mar 10 22.07% 34,091 22,879 197,327 1,825 Vision Capital (87%), management (13%) 9 97 Apogee Corporation Document handling services provider Southwest London Dec 09 21.38% 6,125 4,157 32,505 136 LMS Capital (29%), management (71%) 9 98 TJ Hughes Department store operator Liverpool Jan 10 21.38% 12,782 8,676 266,710 4,189 Silverfleet Capital (85%), management (15%) 9 99 Kurt Geiger Shoe retailer Central London Jan 10 20.57% 14,534 9,998 162,566 1,118 Graphite Capital (below 50%), management (above 50%) 9 100 Trafficmaster Fleet management software provider Bedfordshire Dec 09 20.57% 13,621 9,370 57,466 524 Vector Capital (100%) 9 † Accounts not filed at Companies House * Annualised figure

THE Buyout Track 100 league table ranks £10m. Companies with profits above with December 2010 being the latest were discovered by researching accounts interviewed by phone. In addition, more Britain's mid-market private-equity-backed £50m are included in a separate “10 financial year end from which figures are filed at Companies House. The accounts than half of the short-listed companies companies with the fastest-growing profits Biggest” league table, featured on page featured. Some figures are taken from were provided by Bureau van Dijk’s Fame were visited by Fast Track researchers over the latest two years. 10. Profits are defined as earnings before unaudited and management accounts. Of and Experian’s Corporate Researcher, and during the course of the research. Criteria: Companies had to be registered interest, tax, depreciation and the 100 companies appearing in the deal details by Bureau van Dijk’s Zephyr Ownership: We included companies in the UK and be independent, unquoted amortisation (ebitda). Exceptionals, joint league table, 50 had financial years ending and Experian’s Corpfin Worldwide. Deal backed by UK and overseas private-equity and ultimate holding companies. At least ventures and impairment of assets were in 2009 and 50 had financial years ending notifications came from Incisive Media’s and venture-capital firms, as well as 20% of a company’s equity must be owned excluded. Ebitda was selected because in 2010. unquote.com/Private Equity Insight infrastructure funds such as Barclays by a private-equity fund. private-equity houses generally use ebitda Note that the sponsors of the Buyout database. We have endeavoured to track Infrastructure Funds, which owns UPP. www.zephyrdealdata.com Profits had to exceed £1m in the base as the best indicator of a company’s profit. Track 100 do not endorse, guarantee or and monitor all UK-based private-equity- Incomplete information: Companies that year, and be more than £3m — but less Profit growth was measured by recommend any of the named companies. backed companies. Nevertheless, we may filed their accounts late and those than £50m — in the latest accounts. compound annual growth rate (CAGR) Data collection: Companies were have missed some companies, and accounts that were not processed by our Some exceptions were made to the Companies had to show an increase in over the two financial years up to the identified in several ways. Some feedback or nominations for next year’s research deadline of January 1, 2011 qualification criteria set out above. The profits from penultimate to latest financial companies’ latest available figures. The nominated themselves or were put table are welcome. were excluded, as were deals that were compiler’s decision is final and no year. The latest sales had to be above league table is based on historical data, forward by private-equity funds. Others Short-listed companies were done after this deadline. correspondence will be entered into. THE SUNDAY TIMES thesundaytimes.co.uk/business 06.02.11 3 Star of the movie rental business shines brightly

PlantHirertHir 114.24% 114.24%114.24% Lovefilm’s customers sign up for become the only streaming service in PPltaPltalta TORFXLOVEFILM.COMTHE HUT GROUP differently priced subscriptions to rent a Britain to have exclusive access to Icon’s 421 ForeignOnlineE-commerce DVD currency rental operator provider firm 217.12%283.72%161.92% number of physical and digital movies 2010 releases. Titles include multi- each month, which are sent out from Academy-Award-nominated Precious, Lovefilm’s warehouse in Peterborough, A Single Man and Edge of Darkness. LOVEFILM.COM is one of Europe’s Cambridgeshire, and returned in a In a move to increase its share in the leading film-subscription services, postage-paid envelope. Movies are movie-streaming market, Lovefilm last offering more than 70,000 movies to its available in DVD and Blu-ray formats. year joined up with Sony to stream a 1.4m members in Britain, Sweden, Subscribers can also rent video games. choice of more than 2,500 films to the Norway, Denmark and Germany. Subscription rates start at £5.99 a month owners of PlayStation 3 consoles in The London-headquartered company and there are no late-return fees. Britain, who number about four million has rapidly grown its profile alongside its The company is now focusing on at present. number of subscribers since its launch in becoming a hybrid business, offering The company is led by chief executive 2002 as Online Rentals. It rebranded as both DVD rentals and online films as it Simon Calver and backed by a Lovefilm.com and the business expanded adapts to the growing number of people consortium comprising private-equity by acquiring a succession of smaller rivals, who want to stream content directly into and venture-capital houses DFJ Esprit, most noticeably Video Island for £80m in their homes. Balderton Capital and Index Ventures as April 2006. Two years later it bought In May last year, Lovefilm launched an well as Arts Alliance Media. The Amazon.com’s European DVD rental on-demand streaming video service and consortium took an initial 50% stake in businesses in Britain and Germany for an joined with Sony and Samsung to offer a 2006. Calver says that future plans undisclosed sum. At the same time, movie-subscription service on their include increasing the company’s Amazon, the world’s largest online retailer, internet-connected TVs. It also confirmed penetration into British homes from 4% took a big minority stake in the business, a content deal with a leading to 8% and expects turnover to push which it later increased to 45%. independent distributor, Momentum beyond the £250m mark in five years. Last month the company announced Pictures, which allows its members to Tough cost controls, pay freezes and that an agreement had been reached for watch online a catalogue of exclusive economies of scale, combined with a Amazon to acquire it outright. The deal, titles for at least one year before their television-advertising campaign and a which is thought to value the business at wider release, for example The Girl With rapidly expanding number of members about £200m, is subject to regulatory The Dragon Tattoo. paying monthly subscription fees, have approval, and is expected to be completed The company signed an agreement helped profits to rise by 284% a year, from later this month or next. with Icon Film Distribution last month to £1.1m in 2007 to £16m in 2009. Fistful of dollars: Lovefilm’s Simon Calver posted profit rise of 284% a year. Now it is being sold to Amazon in £200m deal

ED BRAZIER PlantHirertHir 114.24% 114.24%114.24% forms of transport such as cycling, Britain. The private-equity group ECI commercial insurance, the firm’s profits PPltaPltalta TORFXGOTHE OUTDOORS HUT GROUP according to the retailer Evans Cycles. Partners backed a £78m secondary buyout rose by 88% a year, from £1.6m in 2007 to 42 ForeignOutdoorE-commerce currency equipment operator provider retailer 217.12%114.04%161.92% The business operates from 36 stores, as from Zeus Private Equity in September. £5.7m in 2009. well as online, and opened four new The continued growth in the number of THIS firm claims it can kit out its outlets last year. The company was new customers has helped the company’s customers for any outdoor adventure, founded in London in 1921 and bought by profits to rise by 100% a year, from £2.9m PlantHirertHir 114.24% 114.24%114.24% from walking the dog to conquering K2, the Smith family in the 1950s. In 2008, in 2008 to £11.6m in 2010. PPltaPltalta TORFXUNITEDTHE HUT HOUSE GROUP GROUP the world’s second-highest mountain Active Private Equity acquired a majority 492 ForeignBuildingE-commerce currency contractor operator provider 217.12%86.71%161.92% after Everest. This approach has helped stake for an undisclosed sum. Increased the Sheffield retailer to open 27 UK stores sales and efficiencies of scale have helped PlantHirertHir 114.24% 114.24%114.24% UNITED HOUSE is a leading contractor, that stock camping, climbing, fishing and profits to rise by 104% a year, from £1.5m PPltaPltalta TORFXHELLERMANNTHE HUT GROUP TYTON developer and investor operating in cycling equipment. Private-equity house in 2007 to £6.1m in 2009, under managing 427 ForeignCableE-commerce management currency operator provider products 217.12%90.77%161.92% London and the south of England. It YFM backed a £1.5m buyout in 1998, and director Mike Rice. specialises in new and refurbished social the firm is now chaired by John Lovering, HELLERMANN TYTON is a global housing, urban regeneration, private the former chairman of Debenhams and manufacturer and distributor of a range residential development and public-private Somerfield, and led by president Paul PlantHirertHir 114.24% 114.24%114.24% of more than 20,000 products used to partnership projects. By the end of 2010, Caplan. With the recession forcing more PPltaPltalta TORFXCELERANTTHE HUT GROUP CONSULTING install and protect electrical and the group had delivered more than 80,000 people to stay in Britain for their holidays, 425 ForeignManagementE-commerce currency operator consultancy provider 217.12%100.31%161.92% communications networks. Its core “Decent Homes” as well as maintaining an profits have risen 114% a year, from £1.4m business is in plastic ties for fastening annual new-build programme of 500 social in 2008 to an annualised £6.6m in 2010. COMPANIES turn to Celerant for help cables. Founded in 1933 in Manchester, and high-end private homes. Last year it with managing change. From offices in the business now has operations was also awarded Britain’s biggest Europe, the Middle East and America, this spanning 34 countries. The private-equity low-carbon retrofit contract to date for up PlantHirertHir 114.24% 114.24%114.24% London-based company helps clients to house Doughty Hanson bought the to 200 homes in Islington, London. In PPltaPltalta TORFXAESICATHE HUT PHARMACEUTICALS GROUP improve their operations by refining company from Spirent, the listed March 2010 chief executive Jeffrey Adams 423 ForeignPharmaceuticalsE-commerce currency operator providermaker 217.12%105.74%161.92% organisational effectiveness, improving telecommunications business, for £288m led a management buyout backed by LDC , processes, and streamlining supply in February 2006. Under managing the private-equity house that is part of AESICA PHARMACEUTICALS makes chains. The firm specialises in the director Tim Evans, profits have Lloyds Banking Group, for an undisclosed active ingredients and finished medicines energy, chemicals and manufacturing increased by 91% a year, from £2m in sum. Profits have risen 87% a year, from for drug companies such as Abbott, Merck, sectors, and is moving into private-equity 2007 to £7.4m in 2009. £3.2m in 2007 to £11.2m in 2009. GSK and Pfizer as well as smaller biotech consulting. Chief executive Ian Clarkson firms. It also offers consultancy services. led a £42m buyout from Novell in 2006, Chief executive Robert Hardy led the backed by Caledonia Investments. Profits PlantHirerPtHirltaPlta 114.24% 114.24%114.24% PlantHirerPtHirltaPlta 114.24% 114.24%114.24% management buyout of BASF’s British have risen by 100% a year, from £1.9m in Plta TORFXACTURISTHE HUT GROUP Plta TORFXDWSTHE HUT BODYWORKS GROUP drugmaking business in 2004 backed by 2007 to £7.5m in 2009. 482 ForeignSoftwareE-commerce currency services operator provider provider 217.12%88.24%161.92% 1042 ForeignCarE-commerce repairer currency operator provider 217.12%84.13%161.92% LDC, the private-equity house that is part of Lloyds Banking Group. The Newcastle ACTURIS provides a software service that DWS repairs damaged cars and light firm acquired plants from Merck in 2006, PlantHirerPtHirltaPlta 114.24% 114.24%114.24% automates administrative tasks and commercial vehicles for insurers from 15 Abbott in 2007 and R5 Pharmaceuticals in Plta TORFXXLNTHE TELECOMHUT GROUP trading for the insurance industry. premises around the M25. It carries out June 2010, all of which have helped drive 642 ForeignTelecomsE-commerce currency services operator provider provider 217.12%100.11%161.92% Founded in 2000, the London company roughly 50,000 vehicle repairs a year and up profits 106% a year, from an annualised counts among its clients a variety of has a key relationship with RSA, formerly £3.5m in 2007 to £14.7m in 2009. LAUNCHED by Christian Nellemann in regional and community insurance Royal and Sun Alliance, dealing with 85% 2002, this London-headquartered brokers, as well as banks and insurance of its insurance claims in London. By company supplies more than 125,000 giants such as Aviva and Allianz. The 2015, DWS is looking to have expanded to PlantHirertHir 114.24% 114.24%114.24% small businesses with fixed telephone investment firm Summit Partners backed 22 sites and increased turnover to £75m. PPltaPltalta TORFXEVANSTHE HUT CYCLES GROUP lines, broadband services and low-cost a buyout last June for an undisclosed Risk Capital Partners took a majority 42 ForeignBicycleE-commerceretailer currency operator provider 217.12%103.83%161.92% national and international calls from amount, taking a minority share in the stake in the Essex-based company for an mobile phones. XLN says it is now one of business. Led by joint chief executives undisclosed sum in March last year. THE economic downturn has led a large the biggest independent providers of David McDonald and Theo Duchen and Profits have grown 84% a year, from an Close to the top: John Graham, chief executive of Go Outdoors number of people to consider cheaper telecom services to small firms in driven by a rise in electronic trading of annualised £1.2m in 2007 to £4.1m in 2009. Buyouts are set to bounce back

being asked to create custom- More outstanding mid-market ised disposal processes that include building relationships firms will attract private-equity early with UK and overseas trade buyers as well as sup- buyers in the next 12 months, porting management on their pre-diligence work and busi- says Mark Pacitti of Deloitte ness planning activities. But this year we expect to see an upturn in mid-market deal completions, as both buyers s the dust settles and a strong desire to move for- Track 100 company Waga- and sellers turn their attention after months of fin- ward. As optimism grows, this mama collapsed late last year, towards profitable private- ancial turbulence could be the year when mid- reportedly the third time a equity-backed ventures such as and uncertainty, a market transactions such as transaction involving the those on the Buyout Track 100. picture is emerging XLN take off again. noodle chain had fallen Already, we have seen a sharp ofA a surprisingly healthy mid- Buyout activity has already through. And it is said that rise in transactions among this market where private-equity- been growing over the past 12 Amazon had been in takeover year’s league-table companies. backed firms have performed months, but it started from a talks with this year’s No 1 com- IncludingXLN, atotal of 27 busi- strongly through the downturn. very low base. Private-equity pany, Lovefilm.com, for three nesses, such as family-owned Outstanding companies houses completed 164 deals years prior to the recently retailer Hobbycraft Group such as those on the Buyout with a combined value of announced £200m deal. (No 35), and child-car-seat Track 100 have defied difficult £18.2 billion last year, against In some cases where deals maker Britax Childcare (No 41), conditions to build robust trad- 122 transactions worth a total of have collapsed, vendors have held by Carlyle Group, secured ing records that are tempting £4.7 billion in 2009, according been simply testing the market private-equity backing in 2010. potential buyers after a period to the Centre for Management without necessarily being com- Only 10 ventures on the pre- in which auction processes Buyout Research. mitted to a sale. Elsewhere, vious year’s league table did so. have stuttered and many trans- But the fourfold increase in potential purchasers have pro- Now, after months of inac- actions been aborted. value was driven by a handful ceeded with extreme caution. tivity, private-equity investors For example, last year of very large transactions, such Increasingly, Deloitte and are ready to start spending Deloitte advised Zeus Private as the purchase of auto-parts other financial advisers are again. Bank debt has become Equity on the sale of XLN Tel- maker Tomkins by the Cana- more readily available, and Sitting comfortably: Britax Childcare is one of the 27 firms on the league table to get private-equity backing in 2010 ecom, at No 6 on the league dian private-equity group Onex interest rates have settled at table.After receiving several un- for a reported £2.9 billion, and about 450 points over Libor on solicited offers over a period of the acquisition of the RBS A-rated loans, says Fenton In June, for example, War- vey for the final quarter of 2010 performed consistently such as consumer-goods firms several months, we worked credit-card business WorldPay Burgin, a partner in the debt burg Pincus completed a sec- reveals expansion has become through a tough market, such like Britax, the bicycle-store with Zeus to bring the firm, by Advent International and advisorygroup at Deloitte.How- ondary buyout of discount thetop priority for financedirec- as Office, the shoe retailer at chain Evans Cycles (No 4) and which provides phone and Bain Capital for a reported ever, he adds that funds remain retailer Poundland, at No 46 on tors. Cutting costs, last year’s No 39 on the league table. In a sports-goods etailer Wiggle broadband services to small £1.7 billion. Of the smaller buy- tough to secure for deals the league table, in a £200m all- main concern, has moved to highly competitive market, it (No 32). Both have benefited businesses, to market several outs, many were completed at involving smaller firms with equity deal. third place behind improving has raised profits by 45% a year, from the resurgence in pedal- months ahead of schedule. XLN relatively low multiples, as AFTER MONTHS OF profits of below €25m (£21.5m). But private equity is also cashflow. Buoyed by healthy from £8.7m in 2008 to an annu- powered commuting, espe- was eventually snapped up by private-equity buyers sought As many private-equity under pressure to sell. Many balance sheets, the key opportu- alised £18.4m in 2010. Silver- cially in London. another private-equity inves- value in a difficult market. INACTIVITY, houses have funds to invest, we houses are eager to show they nities most frequently cited by fleet Capital acquired the chain Looking ahead, the new tor, ECI, in a deal that provided Furthermore, a striking can expect to see more deals can return cash from invest- British directors include under- from Sir Tom Hunter’s West emphasis on private-equity Zeus with a 4.5 times return on number of auctions and trade PRIVATE-EQUITY with high equity-to-debt ratios ments made before the finan- taking acquisitions at lower Coast Capital for a reported bolt-ons and corporate expan- its initial £6.6m investment. sales last year were character- in 2011. Last year, debt cial crisis as they start com- prices, and expanding abroad. £140m in December. sion suggests the recovery is Moving into 2011, we expect ised by poor levels of interest INVESTORS ARE including mezzanine, loan peting to raise funds from the We also expect to see more Private-equity buyers will likely to strengthen this year. to see more exits involving and lengthy processes, which notes and other financing shrinking pool of money put up trade buyers from Asia, particu- also seek opportunities to take We look forward to facilitating these outperforming busi- did not always lead to comple- READY TO START instruments accounted for only by institutional investors. larly China, encouraged by the strong firms in new directions future growth among Buyout nesses, as both private-equity tion. For example, discussions ’’ 32% of the average total deal On the corporate side, 2011 weak sterling exchange rate. to deliver additional growth. Track 100 firms and beyond. investors and trade buyers between Lion Capital and value, against 65% in 2005, looks set to be the year when So what will buyers look for More generally, we expect n Mark Pacitti, head of Londoncor- resume spending, encouraged Morgan Stanley Private Equity SPENDING AGAIN accordingtothe Centrefor Man- spending resumes. Our Deloitte in 2011? Undoubtedly, investors investors to focus on compa- porate finance advisory at Deloitte, by an upturn in bank lending about the sale of former Buyout agement Buyout Research. CFO (chief financial officer) Sur- will be seeking firms that have nies that have a high profile, was talking to Catherine Wheatley 4 BUYOUT TRACK 100: Private equity backed firms with the fastest growing profits

PlantHirertHir 114.24% 114.24%114.24% 2004 as Quantum Specials by four former markets. The group has its headquarters PPltaPltalta TORFXSKRILLTHE HUT GROUP managers of Eldon Laboratories, and five in Glasgow, manufacturing facilities in 1142 ForeignOnlineE-commerce payment currency operator provider provider 217.12%81.73%161.92% years later the private-equity house LDC, Hungary, Mexico and China, and design part of Lloyds Banking Group, led a centres in America and Singapore. In THE London-based online payment buyout from the founders. In December 2007 Barclays Private Equity bought the provider Moneybookers, which is the business was renamed Quantum business from Bridgepoint and Hg Capital rebranding itself as Skrill, claims that Pharmaceutical. Under chairman Steve for an undisclosed amount. Under chief 15m people use its technology. The Stocks, profits rose 74% a year, from £2.4m executive William Graham, profits have company says this technology is as in 2008 to £7.3m in 2010. risen 65% a year, from £4.9m in 2007 to sophisticated as anything designed by the £13.4m in 2009. big banks or credit-card companies. It allows anyone with an e-mail address to PlantHirertHir 114.24% 114.24%114.24% send and receive payments online PPltaPltalta TORFXMARLINTHE HUT FINANCIAL GROUP GROUP PlantHirerPtHirPltaPltalta TORFXUPPTHE HUT114.24% GROUP114.24%114.24% securely and cost effectively. The 1542 ForeignDebtE-commerce purchaser currency operator provider 217.12%70.09%161.92% private-equity firm Investcorp took a 51% 2242 ForeignUniversityE-commerce currency accommodation operator provider 217.12%63.20%161.92% stake in the business in 2007 when it IF you have not been able to make your backed a €105m (£71.5m) buyout led by monthly credit-card repayment to your THIS London company finances, designs, Moneybookers’ joint chief executives, high-street bank, Marlin Financial Group builds and manages student Martin Ott and Nikolai Riesenkampff. might buy that debt at a reduced price accommodation for universities around Growth has come on the back of and attempt to recover it. Founder and Britain. It also buys leases on existing international expansion, with special group chief executive Martin Dunphy led buildings, which it refurbishes before focus on continental Europe and a rollout a buyout of the business in 2006 from its renting the rooms to students. Last year into America. Profits grew 82% a year, American owner before Duke Street UPP opened the first phase of one of its from £5.7m in 2007 to £19m in 2009. Capital bought a 58% stake for an largest projects — a £133m contract to undisclosed sum in 2010. In 2009 the provide 2,000 new rooms for the West Sussex company was included in a University of Exeter. In 2004 Barclays PlantHirerPtHirltaPlta 114.24% 114.24%114.24% Channel 4 exposé of the credit industry, Private Equity bought a 74% stake in the Plta TORFXLIFEWAYSTHE HUT GROUP COMMUNITY CARE but an independent legal review found no company from Jarvis for an undisclosed 1242 ForeignCommunityE-commerce currency care operator provider provider 217.12%76.83%161.92% evidence to support the assertions made sum, and acquired the remaining shares in the programme. Profits rose by 70% a in 2008. Under chief executive Sean THIS company provides supported living year, from £2.3m in 2007 to £6.7m in 2009. O’Shea, profits have risen 63% a year, services for 1,500 people with complex from £15.6m in 2008 to £41.6m in 2010 on care needs, including learning disabilities rising rental income. and autism. London-based Lifeways PlantHirertHir 114.24% 114.24%114.24% Community Care has offices throughout PPltaPltalta TORFXKELWAYTHE HUT GROUP Britain and care contracts with more 1642 ForeignITE-commerce services currency provider operator provider 217.12%67.25%161.92% PlantHirertHir 114.24% 114.24%114.24% than 60 local authorities and primary- PPltaPltalta TORFXDCKTHE HUT GROUP care trusts. In 2007 August Equity backed THIS London-based IT services provider 2342 ForeignJewelleryE-commerce currency retailer operator provider 217.12%60.56%161.92% a buyout for an undisclosed sum and sells computer software and hardware, as installed Paul Marriner, a qualified nurse, well as offering consultancy services on JEWELLERY from DCK can be found in as chief executive. Following a buy-and- data-centre setup, network design and more than 29 countries. With more than build strategy, the company has acquired training. Founded in 1990 by chief 3,100 outlets, the company sells affordable four businesses in the past two years and executive Phil Doye at the age of 21, the Bridging the gap: Inchcape Shipping fashion jewellery in Arcadia stores such profits have grown by 77% a year, from an company now has more than 2,000 Services assists customers in the as Topshop, Miss Selfridge, Dorothy annualised £2.2m in 2008 to £7m in 2010. clients, including Microsoft, Bank of container, oil and cruise sectors Perkins and BHS, as well as in other America and Oxford University Press. In retailers, including Matalan. In July last 2006 Core Capital invested £5m for a 25% year Caird Capital purchased a 20% stake PlantHirerPtHirltaPlta 114.24% 114.24%114.24% stake, which has been used to make four female clientèle when she designed a from Bank of Scotland, as part of a larger Plta TORFXACHILLESTHE HUT GROUP GROUP key acquisitions for its buy-and-build homeware range. Distinctively decorated £480m acquisition of Bank of Scotland 1342 ForeignProcurementE-commerce currency operator consultancy provider 217.12%74.00%161.92% strategy. Profits have risen 67% a year, with floral prints, the items have tapped private-equity investments. Under chief from £3m in 2008 to £8.4m in 2010. into the “modern vintage” trend, and can executive Stephen Longdon, profits at BASED in Oxfordshire, Achilles identifies, be seen on items from key rings to Apple the Essex-based company have increased assesses and monitors suppliers for big iPhone covers. The company gained by 61% a year, from £7.6m in 2008 to organisations worldwide that are looking PlantHirertHir 114.24% 114.24%114.24% further exposure when it appeared at the £19.6m in 2010. for high-quality, ethically sourced PPltaPltalta TORFXRIXONWAYTHE HUT GROUP Vintage at Goodwood Festival. The products. Procurement specialists from 1742 ForeignKitchenE-commerce currencymaker operator provider 217.12%67.21%161.92% private-equity firm TA Associates backed more than 700 companies, including a majority buyout in March last year, PlantHirerPtHirltaPlta 114.24% 114.24%114.24% Shell, National Grid and Bovis, use its WORKING solely in Britain’s affordable which valued the company at £106m. Plta TORFXINCHCAPETHE HUT GROUP SHIPPING systems to get information about the and social housing sector, Rixonway Profits grew by nearly 67% a year, from 2442 ForeignMarineE-commerce services currency operator provider provider 217.12%58.97%161.92% financial, environmental, health-and- makes more than 12,000 kitchen units a £3.2m in 2008 to £8.8m in 2010. safety, and social-responsibility week at its manufacturing facility in FOUNDED in the middle of the 19th credentials of their key suppliers. West Yorkshire. Over the past two years century by two Scottish merchants Hg Capital backed a £75m primary buyout the business has continued to recruit staff PlantHirertHir 114.24% 114.24%114.24% looking to ferry mail around India and in June 2008, and profits have grown 74% as it grows organically, and now employs PPltaPltalta TORFXNEXUSTHE HUT INDUSTRIES GROUP Burma, Inchcape Shipping Services now a year, from £3.5m in 2008 to £10.6m in 400 people at its Dewsbury site, along 1942 ForeignElectricalE-commerce currency products operator provider supplier 217.12%66.28%161.92% has 255 offices in 66 countries. 2010 under chief executive Colin Maund. with a nationwide team of 40 designers. Headquartered in Essex, the company The company was founded in 1978, and in FOUNDED more than 40 years ago, Nexus offers marine services such as piloting, May 2006 August Equity backed a buyout Industries designs, manufactures and docking, parts supply and cargo logistics PlantHirerPtHirltaPlta 114.24% 114.24%114.24% for an undisclosed sum led by Rixonway’s distributes electrical products and wiring to customers in the oil, cruise, container Plta TORFXQUANTUMTHE HUT GROUP PHARMACEUTICAL chief executive, Paul Rose. Profits have accessories. Based in Telford, Shropshire, and commodity sectors. Istithmar World 1442 ForeignPharmaceuticalE-commerce currency operator maker provider 217.12%73.98%161.92% risen by more than 67% a year, from it is one of the largest independent Capital, part of the troubled investor £1.8m in 2008 to £5.1m in 2010. electrical-accessories businesses in Dubai World, backed a £166m secondary PHARMACIES, doctors and hospitals Britain. In 2005, Epic Private Equity buyout in 2006 from Electra Partners. Led needing bespoke medicines for particular backed a management buyout, investing by chief executive Claus Hyldager, profits patients, are supplied by Quantum PlantHirerPtHirltaPlta 114.24% 114.24%114.24% £4.3m for a large minority stake. The have risen 59% a year, from £16.4m in Pharmaceutical. The company offers a Plta TORFXCATHTHE HUT KIDSTON GROUP company restructured its operations 2007 to £41.5m in 2009. 24-hour service from order to delivery to 1842 ForeignLifestyleE-commerce currency retailer operator provider 217.12%66.56%161.92% three years later and returned to the patient. The drugs are made at its site profitability as production facilities in in Burnopfield, near Newcastle upon CATH KIDSTON set up her Notting Hill China were greatly increased and key PlantHirerPtHirltaPlta 114.24% 114.24%114.24% Tyne, where 1,500 orders are processed shop in 1993 selling antique furniture and domestic contracts were renegotiated. Plta TORFXAIMTHE AVIATIONHUT GROUP each day. The business was established in fabrics. She became a hit with her largely Led by chief executive John Hornby, the 2542 ForeignAircraftE-commerce currency interior operator designer provider 217.12%58.41%161.92% restructuring and launch of new products helped profits to rise 66% a year, from THE Bournemouth-based company AIM £1.5m in 2007 to £4.1m in 2009. Aviation, founded in 1926, provides aircraft interiors for both civil and COMPANIES WITH THE BIGGEST PROFITS military use with customers including Lots of lolly: Tangerine Confectionery chairman Steven Joseph has cause to smile Emirates and Korean Air. Among its Rank Company Activity Profit, £m PlantHirerPtHirPltaPltalta TORFXTANGERINETHE HUT114.24% GROUP CONFECTIONERY114.24%114.24% 63 Wood Mackenzie Energy consultancy 48.5 more notable designs is the horseshoe 79 Innovia Films Film manufacturer 45.6 2042 ForeignConfectioneryE-commerce currency operator maker provider 217.12%65.14%161.92% bar installed in the business-class section independent sugar confectionery of Emirates Airlines’ A380 aircraft. In 52 Inexus Gas transporter †43.5 PlantHirerPtHirPltaPltalta TORFXWORLDMARKTHE HUT114.24% GROUP114.24%114.24% 22 UPP University accommodation †41.6 A WIDE RANGE of traditional sweets, manufacturer in Britain. Chairman June 2010 LDC, the regional mid-market including Barratt’s Sherbet Fountains and Steven Joseph led the buyout of Toms 2142 ForeignIDE-commerce systems currency developer operator provider 217.12%65.11%161.92% private-equity house that is part of the 24 Inchcape Shipping Marine services provider 41.5 Butterkist Popcorn, is made by this Gruppen’s British operations from the Lloyds Banking Group, backed a 41 Britax Childcare Child car-seat maker 36.2 company. Tangerine Confectionery, Danish group five years ago for an WORLDMARK designs, makes and management buyout, investing an 57 Deb Group Skincare product maker 35.5 which was created through three key undisclosed sum. The move was backed supplies identification and branding undisclosed sum. High demand for new 55 Survitec Group Safety equipment maker 34.8 acquisitions within the UK during the by Growth Capital Partners. Tangerine technology products such as intelligent first and premium-class cabin interiors 96 Brighthouse Household goods retailer 34.1 past three years, is headquartered in then bought underperforming divisions barcode labels and security tags to protect has helped to grow profits under the 48 Republic Fashion retailer 33.6 Blackpool and has seven production sites from Burton Foods and Cadbury, helping against counterfeiting and theft. It serves stewardship of Mark Edwards, the chief † Accounts not filed at Companies House employing nearly 1,400 people. The profits to grow 65% a year, from £4.8m in the electronics, telecommunications, executive, by 58% a year, from £5.3m in company claims to be the largest 2007 to £13.1m in 2009. automotive, medical and consumer 2008 to £13.3m in 2010.

Fast food: Yo! Sushi profits have been rising 26% with the Bank happy to feed hungry help of Lloyds Bank heroes of the middle market

have supported for many years. in private equity compared kets also supported the first Jon Herbert of Lloyds For example, in 2005 we with other asset classes. We are deal out of ECI Partners’ latest Bank Corporate became the first big bank to also persuaded by the risk fund when we jointly arranged use the services of the credit- profile of such deals, where debt for its £78m secondary Markets says more reference agency Callcredit private-equity investors now buyout of XLN Telecom (No 6) Information Group (No 62). We supply as much as half of the from Zeus Private Equity last debt will be available went on to provide debt when capital themselves. September. the firm was bought out from As a result, the acquisition Profits at the company, for the right deals in Skipton building society by finance team within Lloyds which supplies phone and Vitruvian Partners in 2009. Bank Corporate Markets broadband serviceto small busi- the coming year But over the past 12 months almost quadrupled its lending nesses, rose 100% a year from we have also forged strong new in 2010. We supplied £1.9 bil- £2.9m in 2008 to £11.6m in 2010, partnerships with private- lion of funding across 52 deals, after the acquisition of OneBill ast year was a great Bank Corporate Markets, will equity houses and their port- making us Europe’s biggest Telecom in 2009, which one for Aesica Phar- help Aesica to take further folio companies. As the acquisition-finance lender. expanded the customer base. maceuticals. In June advantage of growing demand economic outlook improves, For example, last March we We expect XLN to gain further the Newcastle upon for outsourced pharmaceutical weare encouraged bythe poten- completed our first transaction market share thanks to pro- Tyne company services, according to the phar- tial returns on capital invested with Risk Capital Partners prietary technology that ena- securedL a debt package to fund maceutical company’s chief when we provided a package of bles it to offer outstanding its acquisition of the medical executive, Robert Hardy. debt to support the manage- service at attractive prices. research-and-development Lloyds Banking Group’s ment buyout of the car-repair Looking ahead, we expect firm R5. The deal followed the commitment to building long- business DWS Bodyworks. The our lending to grow again in purchase of plants owned by term relationships with out- company, at No 10 on the 2011 as confidence across the Merck and Abbott, which, standing firms such as Aesica Buyout Track 100, fixes up to mid-market sector improves. taken together, have helped to lies at the heart of our ability to 50,000 damaged vehicles each We pledge to support our long- lift profits by 106% a year, from support promising ventures year for insurers, including term clients and seek out- an annualised £3.5m in 2007 to and their private-equity RSA, Axa and Zurich. standing new management £14.7m in 2009. backers through the downturn We were pleased to back a teams as they recapitalise The drugs manufacturer, at and beyond. Our determination WE ARE firm that has become a leader existing investments and No 3 on this year’s Sunday to understand our clients’ busi- in its market thanks to strong pursue acquisitions. Times Deloitte Buyout Track nesses gives us a clear picture ENCOURAGED BY customer relations and effi- Grasping these opportuni- 100, has been pursuing a buy- of the associated risks and cient labour operations. DWS ties will require a long-term and-build strategy since it was opportunities, and allows us to THE POTENTIAL performed well through the trust and understanding bought out of the chemicals lend to them with confidence. downturn, helped by vehicle- between debt providers, giant BASF in 2004 with We provide debt to 26 firms RETURNS ON accident rates that tend to stay private-equity houses and their backing from LDC, the UK on this year’s league table, constant through the cycle. portfolio companies, such as regional mid-market including the lifestyle retailer PRIVATE EQUITY Profits rose 84% a year, from an those on the Buyout Track 100. private-equity house that is Cath Kidston (No 18), which is ’’ annualised £1.2m in 2007 to We look forward to being part part of Lloyds Banking Group. backed by TA Associates, and CAPITAL COMPARED £4.1m in 2009. We look forward of their future success. Looking ahead, the £20m the fast-expanding Japanese to supporting the company's nJon Herbert, head of the package of working capital, restaurant chain Yo! Sushi WITH OTHER plans to grow as it eyes acquisi- acquisition finance team at Lloyds expenditure and acquisition (No 82), held by Quilvest. tions and adds new repair sites. Bank Corporate Markets, was facilities, arranged by Lloyds Many are companies that we ASSET CLASSES Lloyds Bank Corporate Mar- talking to Catherine Wheatley THE SUNDAY TIMES thesundaytimes.co.uk/business 06.02.11 5

STEPHANIE SIAN SMITH PlantHirertHir 114.24% 114.24%114.24% mail-order business supplies consumers PlantHirertHir 114.24% 114.24%114.24% training in employees’ workplaces. The PPltaPltalta TORFXBOUNTYTHE HUT GROUP in 144 countries and produces own PPltaPltalta TORFXCOGNITATHE HUT GROUP Coventry business has more than 3,000 2642 ForeignParentingE-commerce currency club operator provider 217.12%56.69%161.92% brands for the Royal Horticultural 3142 ForeignSchoolsE-commerce currency operator operator provider 217.12%54.40%161.92% clients, from small and medium-sized Society, Kew Gardens and the Eden companies to large organisations such as BOUNTY is an online marketing and Project. Primary Capital backed a £17m FORMER chief inspector of schools Chris the Ministry of Defence, RBS Insurance, advertising company providing primary buyout from Thompson & Woodhead founded Cognita in 2004 with RSA (formerly Royal and Sun Alliance) and information, products and services for Morgan’s American parent company, backing from Englefield Capital. Barclays. Under chief executive Jim new and expectant mothers. The International Garden Products, in 2002. Woodhead, now chairman, led a Chambers, profits grew 52% a year, from Hertfordshire business operates through Under chief executive John May, profits management team in a £57m acquisition £4.4m in 2008 to £10.2m in 2010. online media, direct marketing, product have risen 56% a year, from £1.6m in 2008 of 18 Asquith schools from Lyceum sampling and distribution contracts with to £3.9m in 2010. Capital. The Milton Keynes group now maternity hospitals. Started in the 1960s, comprises 53 private junior schools and PlantHirertHir 114.24% 114.24%114.24% the company says it now has exclusive senior schools in Britain, Spain, Thailand PPltaPltalta TORFXTHOMSONSTHE HUT GROUP ONLINE BENEFITS access to 95% of hospitals and is Britain’s PlantHirertHir 114.24% 114.24%114.24% and Singapore, educating about 15,200 3442 ForeignSoftwareE-commerce currency developer operator provider 217.12%50.45%161.92% largest parenting club with more than 3m PPltaPltalta TORFXQUANTELTHE HUT GROUP pupils. Unlike many independent schools, members. In June 2009 Barclays Private 2942 ForeignBroadcastingE-commerce currency operator technology provider 217.12%54.61%161.92% Cognita establishments are not run as COMPANIES such as Royal Bank of Equity backed a management buyout for charities, and the company’s chief Scotland and Cisco use the online £54m from the Canadian online media THIS Berkshire company, founded in executive, Rees Withers, has overseen an employee-benefits-management system company Kaboose. Under managing 1973, supplies content-management increase in profits of 54% a year, from developed by this London business to director Ian Beswetherick, profits have software and hardware to television £11.2m in 2007 to £26.6m in 2009 as the administer and communicate staff-reward risen 57% a year, from £3.4m in 2007 to companies and film studios around the portfolio has expanded. schemes. In addition to pensions, benefits £8.3m in 2009. world. Its products have been used on can include healthcare, extra holiday, movies such as Avatar and Made in childcare vouchers or cycle-to-work Dagenham, and the company claims that PlantHirertHir 114.24% 114.24%114.24% schemes, and Thomsons says its system more than 100 broadcasters, including PPltaPltalta TORFXWIGGLETHE HUT GROUP cuts costs and helps with staff retention. PlantHirerPtHirPltaPltalta TORFXDATATHE HUT114.24% EXPLORERS GROUP114.24%114.24% ESPN, rely on its technology. In 2000 the 3242 ForeignOnlineE-commerce sports currency operator goods provider retailer 217.12%52.90%161.92% Chief executive Michael Whitfield and 2742 ForeignFinancialE-commerce currency data operator provider provider 217.12%55.98%161.92% private-equity house LDC backed a managing director Chris Bruce founded management buyout from Carlton WIGGLE was created in 1999 in the back of the firm in 2000. In 2004 Pi Capital bought DATA EXPLORERS provides financial data Communications for an undisclosed a bike shop in Portsmouth. It originally a 48% stake for £5m. Profits grew 50% a to institutions such as hedge funds, amount and Quantel is now negotiating a sold cycling gear online, but it has since year, from £1.5m in 2007 to £3.4m in 2009. investment banks, media partners and restructuring deal. Under chief executive expanded its range to include running, market-data platforms including Ray Cross, profits have grown 55% a year, swimming and triathlon equipment, Bloomberg. It has offices in New York, from £1.9m in 2007 to £4.5m in 2009. shipped to 88 countries. Isis Equity PlantHirertHir 114.24% 114.24%114.24% Edinburgh, Hong Kong and London, and Partners acquired a 42% stake for £12m in PPltaPltalta TORFXHOBBYCRAFTTHE HUT GROUP GROUP helps clients to identify investment 2006, subsequently increasing this to a 3542 ForeignCraftE-commerce goods currency retailer operator provider 217.12%48.97%161.92% WITH 50 stores in Britain selling more than 35,000 craft items, Hobbycraft is the first national arts and crafts retailer to cater for more than 250 different activities all under one roof. These include framing, tapestry, needlework and knitting. The Bournemouth-headquartered company, founded in 1995, was acquired by Bridgepoint in a management buyout for an undisclosed sum in April last year, having boosted profits 49% a year under chairman Simon Burke, from £5.5m in 2008 to £12.2m in 2010.

PlantHirerPtHirPltaPltalta TORFXJACKTHE HUT114.24% WILLS GROUP114.24%114.24% 3642 ForeignFashionE-commerce currency retailer operator provider 217.12%47.98%161.92% TARGETING affluent university towns, Jack Wills now has 45 shops in Britain, Ireland and America. The company sells casual, preppy clothes aimed at 18 to 21-year-olds, as well as a range for more mature customers sold through its Aubin & Wills brand. It puts growth down to the Walkies: Office’s profits from footwear sales have stepped up 45% a year quality of its clothes, geographical expansion and marketing. The business was founded in 1999 by university friends York, Frankfurt, Zurich, Luxembourg and PlantHirertHir 114.24% 114.24%114.24% Peter Williams and Rob Shaw, and in 2007 Hong Kong. It services more than 200 PPltaPltalta TORFXTINOPOLISTHE HUT GROUP Inflexion purchased a 27% stake for an blue-chip clients worldwide, including the 4042 ForeignFilmE-commerce and currency television operator provider producer 217.12%44.28%161.92% undisclosed sum. Profits grew 48% a year, BBC and BMW. The company trains from £4.6m in 2008 to £10.2m in 2010. students at its own academy and says it is TINOPOLIS is the production company now Britain’s largest IT graduate behind television favourites such as employer. Inflexion Private Equity took Question Time and Traffic Cops. It makes PlantHirertHir 114.24% 114.24%114.24% FDM private in a £33m deal in December about 2,500 hours of drama, factual, sport PPltaPltalta TORFXENGINETHE HUT GROUP GROUP 2009. Under founder and chief executive and children’s programmes a year for 3742 ForeignMarketingE-commerce currency agency operator provider 217.12%47.98%161.92% Rod Flavell, profits have risen 46% a year, more than 200 broadcasters worldwide, from £5.3m in 2008 to £11.3m in 2010. including the BBC and Discovery. It also THIS marketing group consists of 10 offers interactive training materials for partner companies providing a range of clients such as the Ministry of Defence. services from direct marketing and PlantHirertHir 114.24% 114.24%114.24% The Welsh company delisted in 2008 in a sponsorship to social media and digital PPltaPltalta TORFXOFFICETHE HUT GROUP £45m deal backed by Vitruvian Partners. marketing. Engine works for 20 of 3942 ForeignShoeE-commerce retailer currency operator provider 217.12%45.00%161.92% Profits have risen 44% a year, from £3.3m Demand for Jack Wills’s stylish casual clothes has brought the firm a chain of 45 shops in Britain, Ireland and America Britain’s top 100 marketing spenders, in 2007 to £6.9m in 2009, under managing including Coca-Cola, Sky and BMW. In FROM Ugg boots to kitten heels and director Arwel Rees. October last year HIG Capital invested Converse trainers, Office sells footwear opportunities and manage risk. In April PlantHirertHir 114.24% 114.24%114.24% 48% shareholding. The company is led by £32.5m in the London company, giving it a from 74 shops and 42 concessions in 2007 Bowmark Capital backed a £58m PPltaPltalta TORFXGAMMATHE HUT TELECOM GROUP chief executive Humphrey Cobbold and 38% stake. Helped by a number of Britain, as well as from a concession in PlantHirerPtHirPltaPltalta TORFXBRITAXTHE HUT114.24% CHILDCARE GROUP114.24%114.24% buyout, taking a 51% stake. Under chief 3042 ForeignTelecomsE-commerce currency network operator provider operator 217.12%54.49%161.92% has former Asda chief executive Andy acquisitions in 2007 and 2008, the group Topshop’s New York outlet. The company executive Donal Smith, profits have Bond on the board. Profits leapt 53% a saw profits grow by 48% a year, from £6m opened its doors in 1981, when husband 4142 ForeignChildE-commerce car currency seat operator maker provider 217.12%44.14%161.92% grown 56% a year, from an annualised BERKSHIRE-BASED Gamma Telecom year, from £3.2m in 2008 to £7.4m in 2010, in 2007 to £13m in 2009. In October, led by and wife David and Liz Casey furnished £2m in 2008 to £4.8m in 2010. provides a variety of fixed-line telephone boosted by the boom in both cycling and chairman Peter Scott, the business made their first London shop with old office THIS firm makes child-safety products and internet services to businesses both online retail. its first acquisition overseas, buying the furniture and named it Office London. The including car seats, bicycle seats, and large and small. This year the company American digital agency Deep Focus. Caseys sold the business to Sir Tom pushchairs. Based in Surrey, the business distributes its products to more than 40 PlantHirerPtHirltaPlta 114.24% 114.24%114.24% announced that it had achieved more Hunter’s West Coast Capital for £15m in Plta TORFXTHOMPSONTHE HUT GROUP & MORGAN than 30,000 connections with its mobile PlantHirertHir 114.24% 114.24%114.24% 2003, which led to a speeding up of store countries, and is a leading brand in many 2842 PPltaPltalta TORFXJHPTHE HUTGROUP GROUP openings. Silverfleet Capital acquired the of these. It was divested from Britax ForeignGardenE-commerce seed currencysupplier operator provider 217.12%55.57%161.92% and data services. In 2002 Kerry Group, PlantHirerPtHirPltaPltalta TORFXFDMTHE HUT114.24% GROUP GROUP114.24%114.24% Sofaer Capital and Marconi made a £7m 3342 ForeignTrainingE-commerce currency services operator provider provider 217.12%51.87%161.92% business for a reported £140m in International and bought by Carlyle LAUNCHED in the back garden of a investment in Gamma Telecom, 3842 ForeignITE-commerce services currency provider operator provider 217.12%46.39%161.92% December last year. Under chief executive Group for £230m in 2005, before Nordic baker’s in Ipswich in 1855, this obtaining a majority stake. Under chief JHP provides vocational education, skills Brian McCluskey, profits have grown 45% Capital backed a £450m secondary buyout garden-seed and plant company is now executive Bob Falconer, profits have training and employability programmes. ESTABLISHED in Brighton in 1990, FDM is a year, from £8.7m in 2008 to an in November 2010. Under chief executive one of the biggest in the country with a grown 54% a year, from £2.7m in 2007 to Founded in 1983, it operates a national an international IT services provider with annualised £18.4m in 2010. Karl Kahofer, profits grew 44% a year, catalogue of more than 8,000 species. The £6.5m in 2009. network of 117 centres and also delivers sales offices in London, Manchester, New from £17.4m in 2007 to £36.2m in 2009. 6 BUYOUT TRACK 100: Private equity backed firms with the fastest growing profits

PINDAR GRAPHICS PlantHirerPtHirPltaPltalta TORFXATPTHE HUTINTERNATIONAL114.24% GROUP114.24%114.24% PlantHirerPtHirPltaPltalta TORFXLGCTHE HUT114.24% GROUP114.24%114.24% PlantHirerPtHirPltaPltalta TORFXULTIMATETHE HUT114.24% GROUP PRODUCTS114.24%114.24% 4242 ForeignBusinessE-commerce currency travel operator agency provider 217.12%43.99%161.92% 4942 AnalyticalForeignE-commerce currency services operator provider laboratory 217.12%38.85%161.92% 5442 ForeignHomewareE-commerce currency designer/sourcer operator provider 217.12%35.89%161.92% ORGANISING corporate travel, THIS international science-based MORE than 450 retailers, including Tesco, conferences and events for more than company says it is the market leader in Marks & Spencer, Asda and Argos, use 1,600 customers, including the Football analytical, forensic and diagnostic Ultimate Products for sourcing and Association, Caterpillar and Heineken, is services. LGC was founded more than 150 designing goods. The merchandise is the business of ATP International. The years ago as the Laboratory of the sold under its customers’ brands or the company increased its global footprint by Government Chemist and was privatised company’s own, and Ultimate Products’ acquiring marine travel specialists in 1996. Now, with 28 laboratories in management says that its operations Instone International for £40m in 2009, Europe, India, China and America, LGC complement its clients’ international and it now has a network of 45 offices in still acts as government chemist, and also sourcing operations. In 2005 LDC, the 27 countries. The London-headquartered provides a wide range of services for the UK regional mid-market private-equity group is led by chief executive Graham private sector. Bridgepoint backed a house that is part of the Lloyds Banking Ramsey. Barclays Private Equity backed a £257m tertiary buyout from LGV Capital at Group, invested £25m for a 46% £73m secondary buyout from LDC in 2008. the beginning of 2010. Under chief shareholding in the business. The Profits climbed 44% a year, from an executive David Richardson, profits rose Manchester-based company was annualised £7.6m in 2007 to £15.7m in 39% a year, from £10.8m in 2008 to £20.7m co-founded by chief executive Simon 2009, helped by expansion into new in 2010. Showman and his business partner Barry markets overseas. Franks in 1997. The pair oversaw profit growth of 36% a year, from £3.7m in 2008 to £6.8m in 2010. PlantHirerPtHirPltaPltalta TORFXA-GASTHE HUT114.24% INTERNATIONAL GROUP114.24%114.24% PlantHirerPtHirPltaPltalta TORFXATTENDATHE HUT114.24% GROUP114.24%114.24% 5042 ForeignChemicalsE-commerce currency and operator gases provider 217.12%38.51%161.92% 4342 ForeignITE-commerce services currency provider operator provider 217.12%43.67%161.92% PlantHirertHir 114.24% 114.24%114.24% BRISTOL-BASED A-Gas International PPltaPltalta TORFXSURVITECTHE HUT GROUP GROUP COMPANIES looking to cut overheads and packs, recycles and distributes a range of 5542 ForeignSafetyE-commerce equipment currency operator provider maker 217.12%35.32%161.92% reduce IT operational costs may turn to gases and chemicals for the refrigeration Attenda to handle their technology needs. and insulation-foam industries. The SURVITEC provides safety and survival The west London company hosts company, which operates globally, equipment to the marine, defence, applications such as sales databases, focuses on producing environmentally aviation and oil-and-gas sectors. The messaging services and e-commerce acceptable replacements for CFC London and Belfast-based group makes websites for organisations such as the chemicals. Close Growth Capital, now life rafts, lifejackets, submarine escape NHS, BMI and Travelodge. A consortium Growth Capital Partners, backed a £32m suits, and anti-gravity and survival led by M/C Venture Partners and Phoenix secondary buyout from 3i in February suits for a range of customers, including Equity Partners backed a secondary 2007, taking a 40% stake. Under group P&O, BP, Thomson Airways, the US buyout in 2002, investing £9m for a chairman John Rutley, profits have Navy and Agusta Westland Helicopters. majority stake. Profits have risen 44% a grown 39% a year, from £5.4m in 2008 to Warburg Pincus, the private-equity firm, year, from £2.7m in 2007 to £5.7m in 2009, £10.3m in 2010. backed a secondary buyout in January under chief executive Mark Fowle. 2010 for £280m, which should help to fund the company’s buy-and-build PlantHirertHir 114.24% 114.24%114.24% strategy. Survitec’s latest acquisition, PPltaPltalta TORFXLASTHE IGUANASHUT GROUP Seaweather Marine and Aviation PlantHirerPtHirPltaPltalta TORFXCPLTHE INDUSTRIESHUT114.24% GROUP114.24%114.24% 5142 ForeignRestaurantE-commerce currency operator operator provider 217.12%38.10%161.92% Services, which has operations in 4442 ForeignSolidE-commerce fuels currency supplier operator provider 217.12%40.74%161.92% Dartford, Kent, Southampton and WORKING as a product designer in 1991, Liverpool, was completed in September THIS Chesterfield business claims it Eren Ali was offered the chance to buy a 2010. Group profits grew by 35% a year, supplies smokeless coal to more than a failing restaurant from his landlady in from £19m in 2008 to £34.8m in 2010 third of the British households that use it. Bristol. He agreed and, partnered by under the stewardship of chief executive It has recently developed an instant-light Fire cracker: CPL Industries says it school friend Ajith Jaya-Wickrema, Doug Baxter. coal product made from 30% renewable supplies smokeless coal to a third created the Las Iguanas brand of materials. As part of a larger purchase of of all UK households that use it restaurants serving Latin its portfolio, Vision Capital bought out Headquarters location America-inspired food and drink. The PlantHirertHir 114.24% 114.24%114.24% Legal & General’s 30% stake for an of Buyout Track 100 popularity of the chain has led to the PPltaPltalta TORFXNAT.THE HUT FOSTERING GROUP AGENCY undisclosed amount in June 2005. Under Scotland Under chief executive Jim McCarthy, company expanding to 22 sites across 5642 ForeignFosterE-commerce care currency agency operator provider 217.12%35.00%161.92% chief executive Timothy Minett, profits companies 5 profits at the West Midlands company Britain. Bowmark Capital backed a £27m have grown 41% a year, from £10.4m in grew by 40% a year, from £15.3m in 2008 buyout in 2007, and since then profits THIS Middlesex-headquartered business 2008 to £20.6m in 2010. to £30.1m in 2010. have risen 38% a year, from an annualised says it is Britain’s second-largest £2.1m in 2008 to £4m in 2010. independent fostering agency, recruiting, training and monitoring PlantHirertHir 114.24% 114.24%114.24% Northeast PlantHirertHir 114.24% 114.24%114.24% carers for 178 local authorities. The PPltaPltalta TORFXMOUNTAINTHE HUT GROUP WAREHOUSE PPltaPltalta TORFXADELIETHE HUT FOOD GROUP agency was founded in 1995 by former 13 PlantHirerPtHirPltaPltalta TORFXINEXUSTHE HUT114.24% GROUP114.24%114.24% 4542 ForeignOutdoorE-commerce currency clothing operator retailerprovider 217.12%40.39%161.92% 4742 ForeignFoodE-commerce producer/distributor currency operator provider 217.12%39.97%161.92% social workers Michael Lovett and 5242 ForeignGasE-commerce transporter currency operator provider 217.12%38.08%161.92% Edwina Beech, and in 2006 Sovereign HIKERS, campers and skiers can buy Northern PUT together in 2006 by private-equity Capital Partners bought half the business own-label clothing and gear from Ireland investor Duke Street Capital, Adelie Food INEXUS operates and maintains gas and for an undisclosed sum. The National Mountain Warehouse shops in outlet 1 consists of five sister companies acquired electricity networks across Britain and Fostering Agency now has 13 offices and villages and tourist towns. Managing at a combined cost of £120m. The Milton has completed 500,000 utility arranges foster care for more than 1,700 director Mark Neale founded the business Keynes company claims to be a leading connections to households since 1993. It children annually. Led by the chief in 1997 in London and, after more than 50 Midlands supplier in the convenience-food sector, is the largest independent gas transporter executive, Iain Anderson, profits have store openings in the past two years, the producing and distributing foods such as in Britain and also provides electricity climbed by 35% a year, from £5.6m in 2008 retailer now has 120 outlets from Orkney 13 quiches, salads and sandwiches for and telecommunications to its 1m to £10.3m in 2010. to Penzance, as well as three stores in supermarkets, coffee shops, cafés and customers. The Cardiff-headquartered Ireland and one near Vienna. LDC, the airlines. It has about 3,200 staff at nine group, a former subsidiary of French oil private-equity arm of Lloyds Banking Northwest manufacturing and four distribution sites group Total, was acquired by a PlantHirertHir 114.24% 114.24%114.24% Group, acquired a significant holding in in Britain. Profits have grown 40% a year, consortium led by the Challenger PPltaPltalta TORFXDEBTHE GROUPHUT GROUP 8 Mountain Warehouse from Arev for an from £6.5m in 2007 to an annualised Infrastructure Fund in a £465m deal in 5742 ForeignSkincareE-commerce currency product operator providermaker 217.12%34.43%161.92% undisclosed amount in August 2010. £12.8m in 2009 under chief executive 2005. Under chief executive Philip Gibb, Profits have grown 40% a year, from an Chris Thomas. profits have risen 38% a year, from £22.8m THE hands of employees all over the annualised £4.6m in 2008 to £9m in 2010. in 2008 to £43.5m in 2010. world are cleaner thanks to the work of Wales Deb Group. Best known for its Swarfega East PlantHirertHir 114.24% 114.24%114.24% hand cleanser, the business also supplies 6 PPltaPltalta TORFXREPUBLICTHE HUT GROUP a range of other skincare products to PlantHirerPtHirPltaPltalta TORFXPOUNDLANDTHE HUT114.24% GROUP114.24%114.24% 2 PlantHirerPtHirPltaPltalta TORFXWELDEXTHE HUT114.24% GROUP114.24%114.24% 4842 ForeignFashionE-commerce currency retailer operator provider 217.12%39.73%161.92% companies in the industrial, commercial, 4642 ForeignDiscountE-commerce currency retailer operator provider 217.12%40.02%161.92% 5342 ForeignCraneE-commerce hirer currency operator provider 217.12%36.64%161.92% healthcare and food sectors. The firm, IN 1986 two friends set up shop in a Leeds which was founded by AB Williamson in DISCOUNT retailer Poundland has almost basement, trading as Just Jeans. As BASED in Inverness, this crane-hire firm Derbyshire in 1941 as Deb (short for doubled its number of stores to more than demand for denim faded, they reinvented provides equipment to construction debutante) to sell products that helped to 300 over the past three years. It plans to the operation as an edgy streetwear chain companies worldwide, as well as hiring preserve the life of women’s silk called Republic, selling well-known open a further 50 by the end of next Southwest out personnel such as crane operators and stockings, now has operations in 21 month, and says that the scale of the London brands including Diesel, Bench and service engineers. In June 2010 Weldex countries. Two years ago the company business is helping profit growth thanks 27 G-Star. The business has now expanded to was acquired by Dunedin Capital Partners opened a new, global headquarters in to improved buying power. The company 4 105 shops in Britain and Ireland, and in in a £100m secondary buyout from NVM Denby. Charterhouse Capital Partners sells more than 3,000 products, including Southeast June last year Texas Pacific Group backed Private Equity. Under founder and backed a £325m secondary buyout from food, household goods and do-it-yourself 21 a £300m tertiary buyout from Change managing director Dougie McGilvray, and Barclays Private Equity in March 2010, products, all of which are priced at £1. The Capital. With co-founders Carl Brewins helped by new revenue streams in taking an 80% stake. Under chief American private-equity group Warburg and Tim Whitworth still leading the firm, onshore and offshore wind-farm projects, executive Bryan Anderson, profits grew Pincus backed a £200m secondary buyout profits have risen by 40% a year, from profits have risen 37% a year from £7.6m by 34% a year, from £19.7m in 2007 from Advent International in May 2010. £17.2m in 2008 to £33.6m in 2010. in 2007 to £14.3m in 2009. to £35.5m in 2009. Strong management is key focus for private equity

ith financial for more than half of turnover engineering a Tim Macready of Skillcapital says and Skillcapital recently helped fading memory, the firm to appoint former Asda successful mid- that refocusing on strategic and chief executive Andy Bond as a market invest- non-executive director. mentsW are more dependent operational improvement is driving By attracting management than ever on strong manage- talent, private equity plays an ment to deliver returns. growth through the downturn important part in nurturing While cheap debt helped mid-market firms. Experi- create value for investors in the enced executives can develop a boomyearsof 2005 and2006, pri- succession plan and secure vate-equity-owned companies selves are also recruiting in- almost double that achieved by Body Shop’s former chief execu- international markets, as such as those on the Buyout house professionals with a mix- the quoted sector. tive, as chairman to guide its Wiggle’s story shows. They can Track 100 are now focusing tureof strategy consultingexpe- Many of the firms on this expansion into America. also drive a step-change in the their efforts on strategic and rience and proven operational year’s Buyout Track 100 have Or take Wiggle, the online speed or direction of growth. operational excellence to drive management responsibility to already appointed experienced sports retailer at No 32. When For example, former Dell execu- growth through more difficult guide their investments executives to guide the incum- Isis Equity Partners acquired a tive Simon Calver guided Love- trading conditions. towards further growth. bent team towards even greater minority stake in 2006, co- film.com’s strategic change of So while deal activity has Acting swiftly to support in- success. For example, fashion founders Harvey Jones and direction into online movies slowed since the banking melt- cumbent management can retailer Jack Wills (No 36), Mitch Dall had built a suc- before clinching the company’s down — last year there were prove highly effective, backed by Inflexion Private cessful business showing sale to Amazon last month. only 32 mid-market buyouts according to Alan Hirzel, a Equity, worked with Skillcap- profits of about £1.6m on an Despite the legacy problems valued between £50m and partner in Bain & Co’s private- ital to bring in Peter Saunders, £11m turnover. Isis then created by some of the more £250m, against 70 in 2006, equity team. Firms that swiftly hired a non-executive aggressively leveraged deals accordingtothe Centrefor Man- appoint experienced board dir- chairman who worked with during the boom years, we are agement Buyout Research — ectors early in the investment the management team to finding that experienced the private-equity industry has cycle will typically achieve establishclear roles and respon- managers are still attracted been working harder than ever more than double the returns sibilities, according to Isis by private equity’s bias towards to steer portfolio firms through delivered by non-activist inves- partner Mark Advani. action and a culture of value the crisis. tors, research by the strategic More recently, the team has creation. As a result, more funds and consultancy has found. appointed Trinity Mirror and During the downturn, pri- their portfolio companies are The third annual report by Candover alumnus Humphrey vate-equity houses pursued working with executive search the British Private Equity and Cobbold as chief executive, aggressive spending cuts at firms such as Skillcapital to Venture Capital Association INVESTORS HAVE allowing Jones to step back their portfolio companies. As bring in experienced execu- (BVCA) on the performance of from his day-to-day manage- the economic cycle turns, tives and non-executives to portfolio companies also sug- BEEN WORKING ment role. Cobbold, charged many are showing that they take their ventures forward. In gests that experienced man- HARDER THAN EVER with developing Wiggle’s over- are willing to invest in exper- a recent poll of 50 European agers can steer firms towards seas growth strategy, has ienced senior managers and portfolio companies conducted substantial growth, according TO STEER THEIR focused on building an efficient non-executive directors to help by SGV Advisers, almost two- to BVCA chief executive Simon sourcing-and-distribution oper- companies make the most of thirds had changed or aug- Walker. The research attributes PORTFOLIO FIRMS ation that delivers a wide range the global economic recovery. mented their senior manage- 70% of private equity’s overall of goods, attractive prices and n Tim Macready, managing ment during the downturn. returns on exit to strategic and ’’ excellent shipment standards. partner at Skillcapital, was talking THROUGH THE CRISIS Private-equity houses them- operational improvement, Today, foreign sales account to Catherine Wheatley Safe pair of hands: Humphrey Cobbold has built a highly efficient operation at Wiggle THE SUNDAY TIMES thesundaytimes.co.uk/business 06.02.11 7

PlantHirertHir 114.24% 114.24%114.24% was part of Skipton building society until PPltaPltalta TORFXDCTHE LEISURE HUT GROUP MANAGEMENT 2009, when Vitruvian Partners bought a 5842 ForeignLeisureE-commerce facilitycurrency operator operator provider 217.12%34.07%161.92% majority stake in the business for an undisclosed sum. Under chief executive THIS Surrey firm manages and develops John McAndrew, profits grew 32% a year, leisure facilities such as swimming pools from £6.8m in 2007 to £11.7m in 2009, and gyms for local authorities. DC Leisure boosted by investment in IT Management was founded in 1991 and infrastructure. has grown into one of the country’s largest operators, working for 31 councils, managing 110 leisure centres and PlantHirertHir 114.24% 114.24%114.24% employing 6,500 people. It also builds PPltaPltalta TORFXWOODTHE HUT MACKENZIE GROUP new facilities and has just completed a 6342 EnergyForeignE-commerce research currency operator consultancy provider 217.12%31.42%161.92% £35m private finance initiative (PFI) contract with Rotherham council for four THE oil, gas, coal, metals, and mining new sites. Sovereign Capital backed a industries use this Edinburgh company to £14m primary buyout from OCS Group in provide consulting services and market 2003. Under chief executive Steve research. Formed in 1973, its research Philpott, profits grew 34% a year, from products include reports, trends analyses £7.6m in 2008 to £13.6m in 2010. and forecasts. Clients include Shell and BP and it has offices in North and South America, Asia, Australia and the Middle PlantHirertHir 114.24% 114.24%114.24% East. In June 2009 Charterhouse backed a PPltaPltalta TORFXAPEXTHE HUT CREDIT GROUP MANAGEMENT £553m tertiary buyout from Candover, 5942 ForeignDebtE-commerce purchaser currency operator provider 217.12%33.90%161.92% initially taking a 67% stake. Under the leadership of chief executive Stephen ESTABLISHED in 2000, this Warwickshire Halliday, profits have risen 31% a year, company specialises in providing from £28.1m in 2007 to £48.5m in 2009. outsourced debt collection, tracing absent debtors, and recovering portfolios of debt bought from financial institutions. It PlantHirertHir 114.24% 114.24%114.24% works with banks such as RBS and Lloyds PPltaPltalta TORFXMANDMDIRECT.COMTHE HUT GROUP Banking Group, as well as leading 6442 ForeignOnlineE-commerce discount currency operator retailer provider 217.12%30.29%161.92% credit-card and motor-finance houses. In 2007, AnaCap Financial Partners backed a THIS company is an online retailer of Making light work: building services provider EIC refurbished the art deco buy-in management buyout for an discounted lifestyle, fashion and sports Hoover building in London and fitted the illuminations for the exterior undisclosed sum from apparel and footwear. Sector breakdown of Manufacturing: 10% Life sciences, credit-management company BCW, Herefordshire-based MandMDirect.com healthcare: 10% appointing Neil Clyne as chief executive. buys end-of-line products from leading shops are found in high streets, shopping led a £48m buyout from property investor the Buyout Track 100 Profits have grown 34% a year, from £2m clothing brands, including Adidas, centres and out-of-town retail parks RO Trading in March 2010 backed by Travel, hospitality, in 2007 to £3.6m in 2009, driven by Bench, Superdry, Henleys, Timberland, throughout Yorkshire, Lancashire, Bowmark Capital. Profits have grown 30% leisure: 7% investment in technology. Diesel and Puma. It then offers them at a Nottinghamshire and Humberside. The a year, from £2.5m in 2008 to £4.1m in 2010. Technology, discount of up to 75% to its 1.3m business offers premium-branded frozen media and Financial customers. In 2007 TA Associates backed a food as well as branded dry grocery and telecoms: 14% services: 5% reported £90m secondary buyout of the chilled goods plus highly discounted PlantHirerPtHirPltaPltalta TORFXGRIFFINTHE HUT114.24% MARINE GROUP114.24% TRAVEL114.24% PlantHirerPtHirPltaPltalta TORFXCASTLECARETHE HUT114.24% GROUP114.24%114.24% business from its founders and the one-off products. Managing director Property (including 6042 ForeignMarineE-commerce travel currency operator agency provider 217.12%33.11%161.92% private-equity group ECI, and installed Kevin Gunter led an £11m management 6942 ForeignYouthE-commerce care currency homes operator provider operator 217.12%29.64%161.92% construction): 5% Steve Robinson as chief executive. Profits buyout from founder Jack Fulton in a deal Business PROVIDING transport services to the rose 30% a year, from £8.4m in 2008 to backed by 3i in 1997. Profits at the West CASTLECARE is a provider of education, services: 14% marine, offshore and cruise industries is £14.3m in 2010, boosted by expansion into Yorkshire firm grew 30% a year, from residential care and treatment Energy, this company’s business. One of its main continental Europe. £1.8m in 2008 to £3.1m in 2010. programmes for children infrastructure, activities is organising plane tickets for Consumer utilities: 4% merchant seamen travelling to and from (including retail): 31% vessels all over the world. Founded in 1977, PlantHirertHir 114.24% 114.24%114.24% the London firm now employs more than PPltaPltalta TORFXEICTHE HUT GROUP 500 people to ensure critical connections 6542 ForeignBuildingE-commerce currency services operator provider 217.12%30.11%161.92% PlantHirertHir 114.24% 114.24%114.24% PlantHirertHir 114.24% 114.24%114.24% are met. Profits have been boosted by its PPltaPltalta TORFXROSEMONTTHE HUT GROUP PHARMA. PPltaPltalta TORFXCASTLEBECKTHE HUT GROUP successful operations in Asia, and in EIC provides mechanical and electrical 7042 ForeignLiquidE-commerce pharmaceuticals currency operator provider 217.12%29.45%161.92% 7242 ForeignSpecialistE-commerce currency healthcare operator provider 217.12%28.76%161.92% December 2009 the private- equity house building services to household names Inflexion backed a management buyout such as Debenhams, Asda and Bupa, as LIQUID medicines for people unable to CASTLEBECK provides specialist for an undisclosed sum, taking a 25% well as to schools and the NHS. The swallow tablets are developed by healthcare and rehabilitation services for stake. Under chief executive George West Midlands company’s recent wins Rosemont Pharmaceuticals. The Leeds adults and adolescents with learning or Boyes, profits have risen 33% a year, from include a contract to provide electrical company was founded in 1967 and has behavioural difficulties at 27 independent £7.2m in 2007 to £12.7m in 2009. maintenance for Tesco stores in the manufactured more than 120 liquid hospitals and residential homes in north of England and Scotland. MML versions of solid drugs, supplying them to Britain. The Darlington-based company, Capital Partners bought out the founding hospitals, pharmacists and patients founded in 1987, has moved into new PlantHirertHir 114.24% 114.24%114.24% families in 2008 for £40m, although the across Britain. The medicines can be used services, including foster placement and PPltaPltalta TORFXADAPTTHE HUT GROUP founders’ sons, Ian Lyall and Nigel Le to treat a range of conditions, including autism care, under chief executive Jon 6142 ForeignManagedE-commerce currency services operator provider provider 217.12%32.94%161.92% Marechal, still run the company. Profits heart disease and cancer. Led by Mann, and employs 2,000 people. Lydian rose by 30% a year, from £4.6m in 2007 to managing director John Blythe, the Capital Partners, the private-equity firm LONDON-BASED Adapt, led by chief £7.8m in 2009. business was bought from Savient backed by Irish tycoons JP McManus, executive Peter Knight, provides Pharmaceuticals in 2006 in a £94m John Magnier and Dermot Desmond, led managed IT services and outsourced buyout backed by Close Brothers Private a £255m tertiary buyout in 2006. Profits data-centre services to more than 800 PlantHirertHir 114.24% 114.24%114.24% Equity. Driven by the launch of new have risen 29% a year, from an annualised customers, including Cheapflights and PPltaPltalta TORFXFMGTHE HUT SUPPORT GROUP products, profits have increased 29% a £18.9m in 2007 to £31.3m in 2009. Lovefilm.com. Alcuin Capital Partners 6642 ForeignFleetE-commerce management currency operator provider services 217.12%29.93%161.92% year, from £10.7m in 2007 to £18m in 2009. and other institutional investors backed a £7.5m management buyout from ROYAL MAIL, DHL and the Highways PlantHirertHir 114.24% 114.24%114.24% Margolis Group in August 2006, taking a Agency use this company’s services to PPltaPltalta TORFXZENITHTHE HUT PROVECTA GROUP PlantHirerPtHirPltaPltalta TORFXTHE ORIGINALHUT114.24% GROUP FACTORY114.24%114.24% SHOP 25% stake. Since then, the company has keep their fleets of cars, vans and trucks 7342 ForeignVehicleE-commerce leasingcurrency operator services provider 217.12%28.63%161.92% embarked on a process of expansion, on the road and reduce fleet running 7142 ForeignDiscountE-commerce currency retailer operator provider 217.12%29.19%161.92% starting with the acquisition of costs. Huddersfield-based FMG Support THIS is one of Britain’s biggest network-services provider Centric provides its customers with outsourced IN pursuit of bargains, thrifty shoppers independent vehicle-leasing and fleet- Telecom for £6.25m from Alchemy in July management of breakdown assistance, are continuing to flock to the 160 stores management businesses. Founded in 2007. Profits have grown 33% a year from accident recovery and repair, and the across Britain now owned by The Original 1989 and headquartered in Leeds, Zenith £1.8m in 2008 to £3.1m in 2010. handling of insurance claims. Chairman Factory Shop. Based in Burnley, manages more than 27,000 vehicles for its and chief executive Nick Brown led a Original Factory Shop chief executive Angela Spindler plans 400 more outlets Lancashire, the company sells heavily corporate clients. After several years of £19m primary management buyout in discounted branded merchandise, strong organic growth, the business, then PlantHirertHir 114.24% 114.24%114.24% 2008 backed by Spirit Capital Partners. PlantHirertHir 114.24% 114.24%114.24% and young people. The company, based in including fashion items, electricals, toys known as Zenith Vehicle Contracts, PPltaPltalta TORFXCALLCREDITTHE HUT GROUP INFORMATION Profits have increased 30% a year, from PPltaPltalta TORFXLEADERSTHE HUT GROUP LETTINGS Northamptonshire, runs more than 40 and toiletries, and has plans to open completed its first acquisition in 2008 6242 ForeignBusinessE-commerce currency risk operator evaluator provider 217.12%31.75%161.92% £2.6m in 2007 to £4.4m in 2009. 6842 ForeignResidentialE-commerce currency letting operator provider agent 217.12%29.73%161.92% homes and schools in England and Wales another 400 outlets in the next five years. when it bought rival company Provecta for children with social, behavioural or The business employs more than 2,000 for an undisclosed sum and named the THIS Leeds business provides BENEFITING from the buoyant lettings special needs. Baird Capital Partners people and targets towns with merged entity Zenith Provecta. Morgan credit-checking, identity- verification PlantHirertHir 114.24% 114.24%114.24% market, Worthing-based Leaders Lettings backed a £22m management buyout in populations of fewer than 20,000. It was Stanley backed the fourth buyout of and debt-collection services. It has also PPltaPltalta TORFXFROZENTHE HUT VALUE GROUP has bought and integrated more than 30 2004. The business bought a competitor, set up in 1969, and Duke Street Capital Zenith from Barclays Private Equity in expanded into the development of 6742 ForeignValueE-commerce food currency retailer operator provider 217.12%29.78%161.92% businesses, branches or tenancy portfolios Sovereign Care, the following year for an backed a £68.5m secondary buyout from August 2010, taking a 60% stake in the marketing databases, market analysis since 2005, and now has 46 offices in the undisclosed amount. With chairman Barclays Private Equity in 2007. Overseen business for £85m. Under executive and customer handling for clients that FROZEN VALUE, which trades as Jack south of England, letting 10,000 properties David Barrass at the helm, the company’s by chief executive Angela Spindler, chairman Andrew Cope, profits have range from financial-services companies Fulton, has been a value frozen-food a year. It also offers property-management profits have increased by 30% a year, from profits have grown 29% a year, from risen 29% a year, from an annualised to charities. Callcredit Information Group retailer for more than 50 years. Its 91 services. Paul Weller, managing director, £2m in 2007 to £3.4m in 2009. £8.9m in 2008 to £14.9m in 2010. £5.4m in 2008 to £8.9m in 2010. 8 BUYOUT TRACK 100: Private equity backed firms with the fastest growing profits

TIM WRIGHT PlantHirertHir 114.24% 114.24%114.24% company bought a rival’s European arm. PPltaPltalta TORFXWIRELESSTHE HUT GROUP INFRASTRUCTURE Profits have risen by 25% a year, from 7442 ForeignWirelessE-commerce currency tower operator operator provider 217.12%28.18%161.92% £8.6m in 2008 to £13.5m in 2010. THIS Motherwell-based company operates shared telecommunications PlantHirertHir 114.24% 114.24%114.24% infrastructure on towers and rooftops PPltaPltalta TORFXANDREWTHE HUT GROUPPAGE across Britain used for transmitting 8642 ForeignVehicleE-commerce partscurrency operator distributor provider 217.12%25.24%161.92% mobile-phone and broadband signals. Wireless Infrastructure Group buys the THIS firm claims to be one of the largest rights to land or sets up income-sharing independent distributors of car parts and deals with landowners to put up telecoms workshop tools in Britain. Andrew Page towers. It says its portfolio of more than says the recession has helped sales 1,000 sites makes it the second-largest because more people are repairing their company of its kind in Britain. Profits cars rather than buying new ones. have risen 28% a year, from £6.6m in 2007 Founded in Leeds in 1946, the company to £10.8m in 2009, under the leadership of has expanded to more than 50 branches. chief executive Scott Coates. The founder’s family retains a large stake and Andrew Page himself remains on the board. Phoenix Equity Partners backed a PlantHirertHir 114.24% 114.24%114.24% £102m buyout in March 2010, taking a PPltaPltalta TORFXDUNLOPTHE HUT AIRCRAFT GROUP TYRES majority stake. Under managing director 7542 ForeignAircraftE-commerce currency tyre makeroperator provider 217.12%27.69%161.92% Mark Roberts, profits grew 25% a year, from £8.3m in 2008 to £13m in 2010. CELEBRATING its centenary in 2010, this company designs and makes 70,000 tyres a year for commercial and military PlantHirertHir 114.24% 114.24%114.24% aircraft, from the Boeing 747 to the PPltaPltalta TORFXTOBARTHE HUT GROUP GROUP Eurofighter Typhoon. Its customers 8742 ForeignToyE-commerce and currency gift retailer operator provider 217.12%25.00%161.92% include British Airways, BMI and Lufthansa, as well as aircraft OFFERING unusual toys and gifts since constructors and wheel and brake 1973 through retail, mail order and online, manufacturers. The Birmingham this Suffolk firm also supplies independent business retreads a further 25,000 tyres a retailers, tourist centres and department year and opened a retread facility in stores. Incorporating several brands, China in 2009. Chairman Ian Edmondson including Hawkin’s Bazaar, Letterbox and led a £40m secondary buyout from 3i in Stocking Fillers, the Tobar Group operates 2007, backed by AAC Capital Partners. 120 shops around Britain and supplies Profits have increased by 28% a year, from trade customers in 26 other European £4.5m in 2007 to £7.3m in 2009. countries. Primary Capital backed the Staying afloat: Oyster Marine’s reputation has helped the firm to weather the economic storm and boost profits by 25% a year to £7.4m £42m management buyout for a 50% stake in September 2006. With 10 new stores PlantHirertHir 114.24% 114.24%114.24% opened in 2010, profits have risen by 25% a PPltaPltalta TORFXNAT.THE HUT ACCIDENT GROUP HELPLINE Lancashire company has been boosted by backed a management buyout thought to investments in the business in 2004 and year, from £2.1m in 2008 to £3.3m in 2010, PlantHirerPtHirPltaPltalta TORFXTEACHINGTHE HUT114.24% GROUP PERSONNEL114.24%114.24% 7642 ForeignLegalE-commerce services currency operator marketing provider 217.12%26.92%161.92% adding ceramic tiles and coving to its be in the region of £200m. Under chief 2006. Profits have increased 25% a year, under chief executive Toby Templer. product range, as well as the careful 8142 ForeignSupplyE-commerce teacher currency operator recruiter provider 217.12%26.37%161.92% executive Nick Worthington, profits have from £2.9m in 2008 to £4.5m in 2010. EXTENSIVE television and internet management of costs. Managing director grown 25% a year, from £16m in 2007 to advertising is used by National Accident Anita Kenyon led a primary buyout in TEACHING PERSONNEL supplies £25.1m in 2009. PlantHirertHir 114.24% 114.24%114.24% Helpline to find people wishing to make 2007 with the backing of Total Capital temporary staff to 4,000 primary, PPltaPltalta TORFXOYSTERTHE HUT MARINE GROUP PlantHirerPtHirPltaPltalta TORFXMICROLEASETHE HUT114.24% GROUP114.24%114.24% personal-injury claims. After screening Partners, which took a 43% stake in the secondary and special-needs schools in 8842 ForeignYachtE-commerce builder currency operator provider 217.12%24.92%161.92% by the company’s legal team, inquiries business for an undisclosed sum. Profits England and Wales. Based in Welwyn PlantHirertHir 114.24% 114.24%114.24% 8542 ForeignElectronicE-commerce currency equipment operator provider 217.12%25.26%161.92% are passed to solicitors who pay a referral have risen 27% a year, from £2.2m in 2007 Garden City, Hertfordshire, the firm was PPltaPltalta TORFX99pTHE STORES HUT GROUP OYSTER MARINE has been building fee to the company, which is based at to £3.6m in 2009. founded in 1996 and now has 32 regional 8442 ForeignDiscountE-commerce currency retailer operator provider 217.12%25.31%161.92% MICROLEASE says it is Europe’s leading luxury sailing yachts since 1973 and has Kettering in Northamptonshire. The branches. The business provides supply supplier of electronic measuring and weathered the recent economic storm business was founded in 1993 by Alan teachers to state and independent schools NADIR LALANI opened the first of his testing equipment to the defence, thanks to its reputation for combining Kennedy. LDC, the UK regional PlantHirertHir 114.24% 114.24%114.24% and also recruits teaching assistants, 99p Stores in London in 2001, and the telecommunications and aerospace comfort and performance. Its fleet ranges mid-market private-equity house that is PPltaPltalta TORFXINNOVIATHE HUT FILMS GROUP nursery nurses and special-needs business now operates 139 outlets markets. Clients include Alcatel-Lucent, from an agile 46ft yacht to the new Oyster part of the Lloyds Banking Group, backed 7942 ForeignFilmE-commerce manufacturer currency operator provider 217.12%26.75%161.92% teachers for both short and long-term nationwide after picking up 67 former Ciena, Thales, EADS and Huawei. The 125 superyacht. In 2008 Balmoral Capital a primary buyout in 2006 and a positions. Graphite Capital backed the Woolworth shops to date. True to its Middlesex firm rents, sells, buys back and bought 99% of the Ipswich-headquartered restructuring in 2009, providing a partial THIS company manufactures the films £45m tertiary buyout from RJD Partners name, the single-price retailer sells services equipment. Chief executive Nigel business for £70m, and chief executive exit for retiring directors. LDC used as labels and wrapping on food, in July 2010. Profits have grown 26% a everything at 99p, although the company Brown led a £30m primary buyout in David Tydeman replaced Richard subsequently sold half its stake to sweets, cigarettes, toiletries and year, from £3.6m in 2007 to £5.7m in 2009 recently launched Family Bargains, a new 2006, backed by LDC, the UK regional Matthews, who had been at the helm Inflexion Private Equity in 2009 for an beverages. The films are made from under managing director John Bowman. budget retail chain not constrained by the mid-market private-equity house that is since founding the company with Alan undisclosed amount. Profits rose 27% a plastic or cellulose and the 99p price tag. Barclays Ventures owns a part of the Lloyds Banking Group, which Brook in 1973. Profits increased 25% a year, year, from £5.6m in 2007 to £9m in 2009. Cumbrian-headquartered company has a large minority stake after making injected a further £8m in 2009, when the from £4.8m in 2007 to £7.4m in 2009. rapidly developing business in PlantHirertHir 114.24% 114.24%114.24% biodegradable wrapping. The group sells PPltaPltalta TORFXYO!THE SUSHI HUT GROUP PlantHirertHir 114.24% 114.24%114.24% to customers in more than 100 countries 8242 ForeignJapaneseE-commerce currency restaurant operator provider chain 217.12%25.92%161.92% PPltaPltalta TORFXCIVICATHE HUT GROUP and has production facilities on three Positive signals: 7742 ForeignITE-commerce services currency provider operator provider 217.12%26.90%161.92% continents. The company was founded in SINCE 1997, diners at Yo! Sushi have been Wireless Infrastructure 2004 when the chairman, Dennis treating themselves to Japanese-inspired Group’s profits have FROM its London headquarters Civica Matthewman, led the £215m acquisition food delivered directly to their seats by risen 28% a year provides software, IT services and of the business from UCB Films backed conveyor belt. The chain of 66 restaurants specialist outsourcing to more than 1,800 by Candover Partners. Profits have stretches across Britain and can also be organisations across Britain, America, increased by 27% a year, from £28.4m in found in Moscow, Dublin, Dubai, Bahrain Australia and New Zealand. The business 2007 to £45.6m in 2009. and Kuwait, serving 4m customers a year supplies systems for customer contact, with plates of sushi, sashimi and hot case management and administration in dishes. Chief executive Robin Rowland local government, education, social PlantHirertHir 114.24% 114.24%114.24% has plans to expand to 100 restaurants housing and healthcare. Civica says its PPltaPltalta TORFXI2THE HUT GROUP worldwide by 2012. He led a £51m customers include 90% of local 8042 ForeignSoftwareE-commerce currency developer operator provider 217.12%26.62%161.92% secondary buyout backed by Quilvest authorities in Britain. The company also Private Equity in March 2008. The provides integrated systems for teaching ACCORDING to chief executive Robert opening of new restaurants in Britain and and learning for schools and colleges. Griffin, i2’s software helped to find abroad has boosted profits 26% a year, Chief executive Simon Downing led a Saddam Hussein’s hideout by mapping from £4m in 2007 to £6.4m in 2009. public-to-private buyout in May 2008 that connections between people in his circle. was backed by 3i and valued the business The Cambridge-headquartered company at £237m. Profits have risen 27% a year, produces predictive and investigative PlantHirertHir 114.24% 114.24%114.24% from £17.8m in 2008 to £28.7m in 2010. analysis software for defence, national PPltaPltalta TORFXDREAMSTHE HUT GROUP security, law-enforcement and 8342 ForeignBedE-commerce retailer currency operator provider 217.12%25.48%161.92% commercial security uses. More than PlantHirertHir 114.24% 114.24%114.24% 4,500 organisations in 100 countries use PROVIDING customers with a great PPltaPltalta TORFXARTHOUSETHE HUT GROUP i2 products to visualise hidden night’s sleep is the aim of this High 7842 ForeignHomeE-commerce decoration currency operator providersupplier 217.12%26.80%161.92% connections and so deter and prevent Wycombe company, which makes and criminal and terrorist threats. The retails beds, mattresses and bedroom ARTHOUSE sells a range of home- American technology investor Silver Lake furniture. Celebrating 25 years in business decoration products through more than Sumeru backed the £94m buyout of i2 this year, the business now sells a range 2,000 retailers nationwide, including from Choicepoint Services in 2008. of more than 150 beds and mattresses leading do-it-yourself stores such as B&Q Profits rose by 27% a year, from £8m in from 260 superstores nationwide. In and Homebase. Profit growth at the 2007 to £12.8m in 2009. March 2008 Exponent Private Equity Time to bring your wealth planning up to date

ronment as they weigh up a larly, particularly in times of Owners need to review financial partial sale of their business. economic upheaval. Chancellor George Osborne’s UBS Wealth Management strategies after big changes in the decision to increase entrepre- works with clients to create neurs’ relief to encourage early- plans that address the key ques- economy, markets and tax regimes, stage investment has turned tions, including financial-risk attention towards disposals. In tolerance,indebtedness, cash re- says Michael Bishop of UBS June’s emergency budget, quirements, tax and succession Osborne extended the 10% planning — even philanthropy. capital-gains-tax rate to cover Business owners who plan to the first £5m of share disposals, head for the exit in the coming s the economic their business. But in an envi- vided an exit for private-equity up from £2m. Compared with months should also consider cycle turns, entre- ronment where lending backer KCAJ, when it sold a the present CGT rate of 28%, this longer-term market trends. preneurs are re- remains relatively scarce, more minority shareholding to LDC, relief is therefore worth up to UBS expects that British bank viewing their business owners are turning to the private-equity house that is £900,000 or more if an entrepre- interest rates will remain low, wealth-manage- private equity, where there has part of Lloyds Banking Group, neur’s spouse is actively in- rising to 1% by the end of this mentA strategies to reflect been a rise in activity, driven by last September in a transaction volved in the business. The con- year. However, we expect infla- improving capital markets, more realistic valuations and that valued the business at trast with a rise in the top rate tion to reach 2.7%, running changing tax regimes and sheer weight of demand. more than £50m. Neale and his of income tax from 40% to 50% ahead of other developed fluctuating inflation, interest Indeed, there has been a management will use the addi- is further encouraging found- nations. So investors who are and exchange rates. sharp rise in private-equity tional funding to open new ers to pursue sensible, long- earning less than 1% interest on After many difficult months deal-making among this year’s stores and roll out a premium term financial planning. their cash and then paying tax business owners are wel- Sunday Times Deloitte Buyout clothing range. Of course, it is vital for entre- of up to 50% on that interest — coming the opportunities that Track 100 companies. Some 27 But entrepreneurs are also preneurs such as Kidston and in an inflationary environment flow from renewed activity in firms, ranging from Aim Avia- taking into account recent Neale to review their wealth- — are losing real value over the the private-equity market. tion (No 25) to Zenith Provecta changes to the British tax envi- management strategies regu- year. Many of our clients are They are seizing the chance to (No 73), secured private-equity therefore asking us to build recapitalise or realise wealth by backing in 2010, while only 10 ROSS WOODHALL inflation-proofing strategies. diluting their holdings or ventures on the previous year’s Meanwhile, we predict that selling stakes in their ventures. league table did so in 2009. sterling will strengthen against Some seek new capital for For example, last March Cath both the dollar and the euro the next growth cycle of their Kidston, whosehomeware com- over the next 12 months, with business, while others want to pany is at No 18, sold a 60% most relevance for those inves- bringfreshfunds into firms bur- stake in her business to the US tors who have overseas assets. dened by heavy debt repay- private-equity firm TA Associ- As 2011 unfolds we expect to ments and tough trading condi- ates, in a deal that valued the see a sustained upturn in deal tions. Many are planning to firm at a reported £100m. The activity. Accordingly, some release some of the wealth they deal brought fresh capital to stakeholders in this year’s have created either to maintain fund expansion across the UK Buyout Track 100 companies or improve their lifestyles. At and the Far East. But it also will seize the opportunity to some point business owners released wealth for share- make an exit. When the time find themselves reflecting on holders and for Kidston herself, comes, founders ought to make how to manage their personal who continues to be heavily sure their long-term wealth wealth in a changing global involved in the company. strategy is up to date. economy. Mark Neale’s outdoor retail nMichael Bishop, head of private Bank debt remains the most business, Mountain Ware- wealth management at UBS in obvious option for entrepre- house, at No 45, raised further London was talking to Catherine Plenty to smile about: Cath Kidston sold 60% of her homeware company to a US investor neurs seeking to recapitalise expansion capital, and pro- Snowballing: Mountain Warehouse has cash to expand Wheatley THE SUNDAY TIMES thesundaytimes.co.uk/business 06.02.11 9

PlantHirerPtHirltaPlta TORFXHOTTERTHE HUT114.24% COMFORT GROUP114.24% CONCEPT114.24% people with physical disabilities. Plta Healthcare Homes has followed a PRIVATE EQUITY HOUSES WITH 8942 ForeignFootwearE-commerce currency retailer operator provider 217.12%24.88%161.92% buy-and-build strategy for a number of years, and now has 23 homes and two day TWO OR MORE INVESTMENTS PUTTING comfort first is the mantra of centres, spread across Norfolk, Suffolk, IN BUYOUT TRACK 100 FIRMS this Lancashire-based manufacturer of Cambridgeshire and Bedfordshire. The men and women’s footwear. Since the company also cares for people in their LDC 10 company was founded in 1959, it has own homes through its Manorcourt Barclays Private Equity 4 diversified its operations from making Homecare operation. Bowmark Capital slippers, to producing stylish shoes with backed a £75m secondary buyout from Bowmark Capital 4 comfort built in. The company says it August Equity in 2008. Profits have Inflexion Private Equity 4 makes more shoes per year than any increased by 25% a year, from £3.7m in Duke Street Capital 3 other shoemaker in the UK and has 2007 to £5.8m in 2009. Silverfleet Capital 3 recently launched a line of footwear that is available in extra-wide sizes. In 3i 2 December 2007 Gresham Private Equity August Equity 2 PlantHirerPtHirPltaPltalta TORFXANGLIANTHE HUT114.24% GROUP GROUP114.24%114.24% backed a £21m primary buyout to acquire Bregal Capital 2 a 45% stake. Under chief executive 9342 ForeignHomeE-commerce improvement currency operator provider products 217.12%24.55%161.92% Stewart Houlgrave, profits have grown Bridgepoint 2 by 25% a year, from £5.7m in 2008 to ANGLIAN provides a range of products for Caird Capital 2 £8.8m in 2010. the home, from double-glazed windows to guttering and conservatories. The Charterhouse 2 Norwich-based group sells to the building Growth Capital Partners 2 PlantHirertHir 114.24% 114.24%114.24% trade and local councils, as well as direct PPltaPltalta TORFXM&CTHE HUT ENERGY GROUP GROUP to homeowners. It also operates a Phoenix Equity Partners 2 9042 ForeignEnergyE-commerce consultancy currency operator provider 217.12%24.77%161.92% separate wood-flooring business, and has Primary Capital 2 a financial-services operation offering THE procurement and compliance- home-improvement loans. Alchemy Sovereign Capital 2 services provider M&C Energy Group has delisted the company from the stock TA Associates 2 been involved with the utilities market market in 2001 for a reported £162m, and for more than 30 years and now operates in 2008 it was taken over by a consortium Vision Capital 2 in 13 countries across Europe, Asia and of banks after a financial restructuring. Vitruvian Partners 2 America. Headquartered in Scotland, the Under chief executive Peter Mottershead, company buys in excess of £4 billion profits have grown 25% a year, from Warburg Pincus 2 worth of gas and electricity a year for its £9.5m in 2008 to £14.7m in 2010. 3,500 customers, helping to reduce their energy expenditure and manage their environmental performance. Lyceum PlantHirertHir 114.24% 114.24%114.24% PlantHirertHir 114.24% 114.24%114.24% Capital acquired M&C for £22m in PPltaPltalta TORFXAZZURRITHE HUT COMMUNICATIONSGROUP PPltaPltalta TORFXKURTTHE HUT GEIGER GROUP December 2009. Under chairman Gerald 9442 ForeignTelecomsE-commerce currency services operator provider provider 217.12%24.33%161.92% 9942 ForeignShoeE-commerce retailer currency operator provider 217.12%20.57%161.92% Higgins, profits have grown 25% a year, from £2.5m in 2008 to £3.9m in 2010. THIS telecoms service provider delivers THE designer-shoe retailer Kurt Geiger voice, data and mobile communications. says that it sells 10 pairs of shoes every Walsall-based Azzurri Communications minute from its 63 shops and 112 PlantHirertHir 114.24% 114.24%114.24% has shown a rapid rate of growth since department-store concessions worldwide. PPltaPltalta TORFXDANWOODTHE HUT GROUP GROUP its inception in 2000, having made 16 It plans to open 40 more stores across 9142 ForeignOfficeE-commerce equipment currency operator providersupplier 217.12%24.69%161.92% acquisitions. The company says it Britain and 32 branches in Russia, Turkey services a quarter of the FTSE companies and Malaysia over the next five years. As DANWOOD GROUP supplies office and has customers, including Alliance well as its own footwear, the printing equipment, such as scanners, Boots, STA Travel and Visa, in 130 London-headquartered company is printers and copiers, and says that it has countries. Silverfleet Capital bought the licensed to sell designer brands such as either installed, or is managing, more company from 3i for a reported £182.5m Gucci and Jimmy Choo. Graphite Capital than 90,000 office printing machines in in June 2006 and profits have increased backed a £95m secondary buyout from Britain and Ireland. The Lincoln-based by 24% a year, from £9.3m in 2008 to Barclays Private Equity in 2008. Chief company, which was founded in 1971, £14.5m in 2010. The company is led by executive Neil Clifford has led the rapid has grown through a series of chief executive Mark Quartermaine, who store-opening programme and overseen a acquisitions. In the past two years it has joined last autumn. trebling of internet sales to help Kurt bought the printer-and-copier division of Geiger’s profits rise by 21% a year, from Admiral Group, Cardiff-based Algebra £10m in 2008 to £14.5m in 2010. and Photostatic of Bridgend. Bregal PlantHirertHir 114.24% 114.24%114.24% Capital backed a primary buyout from the PPltaPltalta TUFFNELLSTORFXTHE HUT GROUP PARCELS EXPRESS Sole food: chief executive Stewart Houlgrave of Hotter Comfort Concept, which makes shoes with comfort built in company’s founder, Colin Daniels, for 9542 ForeignExpressE-commerce currencyparcel operator courier provider 217.12%23.81%161.92% PlantHirertHir 114.24% 114.24%114.24% £130m in May 2008, taking a 30% stake, PPltaPltalta TORFXTRAFFICMASTERTHE HUT GROUP followed by a further 10% in September HAROLD TUFFNELL founded this as part of a larger £480m disposal of Bank Its product packages include digital PlantHirertHir 114.24% 114.24%114.24% 10042 ForeignFleetE-commerce software currency operator provider provider 217.12%20.57%161.92% 2010. Profits have risen 25% a year, from Sheffield company in 1914, offering a of Scotland private-equity investments. document devices, software, workflow PPltaPltalta TORFXTJTHE HUGHES HUT GROUP £11.2m in 2007 to £17.4m in 2009. horse-drawn delivery service to his The company’s profits have gone up by and telecoms & IT Infrastructure. 9842 ForeignDepartmentE-commerce currency store operator provider operator 217.12%21.38%161.92% THE vehicle-tracking firm Trafficmaster Yorkshire customers. These days, 24% a year, from an annualised £7.4m in Founded in 1993, the London-based provides sat-nav systems with live traffic Tuffnells Parcels Express says it delivers 2008 to £11.4m in 2010 under chief company counts the likes of McDonald’s FOUNDED in 1912 in Liverpool, this information to help fleets improve PlantHirertHir 114.24% 114.24%114.24% tens of millions of packages worldwide executive Lloyd Dunn. and TUI Travel among its customers. discount department-store chain has 56 efficiency, reduce costs and cut down PPltaPltalta TORFXHEALTHCARETHE HUT GROUP HOMES each year and runs a fleet of more than Profit growth has been driven by outlets nationwide and a website selling a their carbon footprint. The Bedfordshire 9242 ForeignCareE-commerce provider currency operator provider 217.12%24.58%161.92% 650 vehicles, known as “Big Green Parcel cross-selling more services with higher range of merchandise that includes company offers vehicle tracking, Machines”, from 25 depots nationwide. PlantHirertHir 114.24% 114.24%114.24% margins to existing clients. LMS Capital clothes, electronics and furnishings. The management and navigation in Britain THIS Colchester-based company, which Bank of Scotland Corporate backed a £33m PPltaPltalta TORFXBRIGHTHOUSETHE HUT GROUP acquired a 29% stake in the business in company operates a “lowest price in and abroad, serving 9,000 fleets and a is led by Richard Clough, Graham Lomer secondary buyout from 3i and Phildrew 9642 ForeignHouseholdE-commerce currency goods operator providerretailer 217.12%22.07%161.92% March 2010 for £7.9m, with the intention town” strategy to attract shoppers total of 200,000 commercial vehicles. and David Bates, runs nursing and Ventures in 2005 and sold its of providing further capital for future through its doors. Silverfleet Capital Vector Capital took the company private residential homes for the elderly and shareholding to Caird Capital in July 2010 WATFORD-BASED Brighthouse began acquisitions. Under co-founders Jason backed the £56m buyout of TJ Hughes in for £87m in June 2010. Under chief life as a television-hire business but Collins and Barry Ferdinand, Apogee’s 2003. Under chairman Neil McCausland, executive Tony Eales, profits rose 21% a VISMEDIA today claims to be the largest rent-to-own profits grew by 21% a year, from £4.2m in profits have risen by 21% a year, from year, from £9.4m in 2007 to £13.6m in retail chain in Britain with more than 2007 to £6.1m in 2009. £8.7m in 2008 to £12.8m in 2010. 2009, when the company was still quoted. 200 stores across the country. It provides credit to customers purchasing household products such as domestic appliances, electronics and furniture, and also offers service cover and insurance. The Sunday Times Deloitte Buyout Track 100 In July 2007 Vision Capital led a £170m secondary buyout from Terra Firma. Since then, Brighthouse has opened more than THE fifth annual Buyout Track 100 and directors to network and meet our Corporate Markets, Skillcapital and UBS 50 stores and, overseen by the chief league table and networking-events sponsors. It is run by Dr Hamish Wealth Management. executive, Leo McKee, profits have programme is produced by Fast Track, Stevenson, who has an associate Nominations for next year’s Buyout increased by 22% a year, from £22.9m in Britain’s leading networking company fellowship at Green Templeton Track 100 can be made through our 2008 to £34.1m in 2010. that focuses on top performing private College, Oxford University. The Buyout website www.fasttrack.co.uk or sent to companies and entrepreneurs. Track 100 research was managed by Fast Track at: Fast Track researches and publishes Steve Beever. Angel Court, 81 St Clements, seven annual league tables with The Fast Track’s sole source of revenue PlantHirertHir 114.24% 114.24%114.24% Oxford, OX4 1AW PPltaPltalta TORFXAPOGEETHE HUT CORPORATION GROUP Sunday Times, ranking the is from sponsors. We would therefore 9742 ForeignDocumentE-commerce currency handling operator provider services 217.12%21.38%161.92% fastest-growing to the biggest private like to thank Deloitte for its title Phone: 01865 297100 companies. It runs invitation-only sponsorship for a fifth year, as well as Fax: 01865 297001 APOGEE provides document- events and dinners for their owners our main sponsors Lloyds Bank Email: [email protected] management services and office Increasing stores and profits: Brighthouse chief executive Leo McKee machinery such as printers and copiers. 10 BUYOUT TRACK 100 10 biggest buyouts with fastest growing profits

Company Location Financial Annual profit Latest profit, Base year Latest sales, and activity of HQ year end growth £000s profit, £000s £000s Staff Main shareholders Comment

1 Marken Pharmaceutical West London Dec 09 101.27% 73,443 *18,131 154,383 360 Apax Partners (67%), Marken transports biological samples, vaccines and clinical trial material for the pharmaceutical industry. The Logistics provider management (33%) company was founded in 1980 and now has operations in North America, Europe, the Asia Pacific, Latin America and Africa. Apax Partners backed a £975m tertiary buyout from Intermediate Capital Group in December 2009.

2 Markit Central London Dec 09 82.56% 116,877 35,067 305,392 1,389 Employees, General Atlantic and other Markit is a global financial information services company that provides independent data, valuations and trade Financial information provider financial institutions processing services for the over-the-counter markets. Financial institutions hold a majority stake. They include the private-equity firm General Atlantic, which bought a 7.5% stake in January 2010 for a reported $250m.

3 R&R Ice Cream North Yorkshire Dec 09 69.70% 65,376 22,702 367,601 1,875 Oaktree Capital (83%), R&R operates eight factories across Europe that produce 730m litres of ice cream a year. It manufactures a broad Ice cream manufacturer management (17%) range of own-label ice cream products for several supermarket chains and has manufacturing and distribution agree- ments with several brand owners, including Nestlé and Mars. Oaktree Capital delisted the group in 2006 for £182m.

4 Infinis Northampton Mar 10 52.85% 71,770 30,720 143,434 454 Terra Firma Capital Partners (100%) Infinis is Britain’s leading generator of purely renewable power and is also the largest generator for the landfill Renewable energy generator gas-to-electricity market. It produces about 10% of the UK’s renewable power, and 0.7% of total electricity supply. In 2006, Terra Firma spun Infinis out of WRG, the waste management company it took private for £531m in 2003.

5 Spire Healthcare Central London Dec 09 38.41% 150,383 78,500 619,992 6,284 Cinven, management This company says it is the second-biggest operator of private hospitals in Britain. It has 37 hospitals with a total Private hospital operator of 1,935 beds. The company was formed in 2007 when Cinven, the private-equity firm, backed the £1.4 billion acquisition of 25 former Bupa hospitals.

6 Barchester Healthcare West London Dec 09 29.03% 50,826 30,528 413,115 14,127 Grove Investments (100%) Mike Parsons set up this company in 1993 and it now runs more than 200 nursing homes, caring for 10,000 people, Care home operator and offering dementia care and assisted living as well as support for younger people with disabilities. Irish entrepre- neurs John Magnier, JP McManus and Dermot Desmond acquired the business in 1994 for an undisclosed amount.

7 Vue Entertainment West London Nov 09 24.89% 57,979 37,171 271,952 3,069 Doughty Hanson (73%), Vue’s 70 cinemas attract 37m customers every year and a further 10 sites are expected to open over the next three Cinema operator management (27%) years. Formed in 2003 when SBC International bought 36 cinemas from Warner Village for £250m, the company was sold to Doughty Hanson in November for a reported £450m, including debt.

8 Airwave Slough Jun 10 22.33% 192,759 *128,813 413,227 866 Macquarie European Infrastructure Fund Airwave’s core business is supplying the emergency services with secure digital radio communication systems. Emergency communications (50%), Canada Pension Plan (50%) In 2007, Macquarie paid Telefonica £1.9 billion for the firm. In 2009, the listed Macquarie fund MCG, which owned provider 50% of the business, was then acquired by Canada Pension Plan.

9 Harrods Central London Jan 10 21.60% 86,500 58,500 519,800 3,314 Qatar Holding (100%) Harrods says its Knightsbridge site is Britain’s largest shop, selling an array of fashion, food and luxury goods. Other Department store operator enterprises within the Harrods brand include property, aircraft sales and a number of outlets in overseas department stores and airports. Qatar Holdings bought Harrods from Mohamed Al-Fayed for a reported £1.5 billion last May.

10 Enterprise Lancashire Dec 09 20.32% 84,400 58,300 1,060,200 8,515 3i (57%), Equiom Trust Company (23%), Enterprise works from more than 150 sites across Britain and Ireland, providing infrastructure maintenance for Maintenance services provider management and staff (20%) the likes of the Highways Agency, United Utilities and the Ministry of Defence. In 2007, 3i backed a £594m public-to-private deal. Later that year Enterprise bought its competitor, Accord, for £195m.

The 10 Biggest is a separate league table of the fastest-growing private-equity-backed companies with profits of more than £50m, ranked by profit growth over a two-year period NOTES: Figure for profit growth is taken over the latest two years for which accounts are available * Annualised figure Light at end of the tunnel Large private equity deals are back on the agenda again, says Chris Hyams of Deloitte

fter a difficult number of companies coming period when big to the London Stock Exchange buyout houses and quadrupled last year, as 89 ven- their portfolio com- tures raised more than £10 bil- p a n i e s w e r e lion, compared with 22 firms knockedA by the banking melt- raising £1.5 billion in 2009. down and accompanying Among them was online recession, some signs of peer-to-peer bookmaker Bet- recovery are emerging. fair. The company, backed by Activity at the larger end of Japanese technology investor the private-equity market, Softbank and others, appeared which includes many of the on last year’s 10 Biggest list investors on the Buyout Track before taking a minority stake 10 Biggest list, is picking up. to the market in October at a Transaction flow has been share price that valued the busi- boosted by debt having become ness at £1.4 billion. more readily available for the Of course, there has been ling- right acquisitions and by more ering scepticism about private- willing sellers, encouraged by equity-backed IPOs as a result the robust valuations com- of firms being floated with manded by good businesses. large debts and concerns that Across Britain, 20 buyouts share prices are depressed by worth more than £250m were private-equity investors retain- completed last year, according ing big minority stakes upon to the Centre for Management floating. But Carlyle Group and Buyout Research, up from Vestar Capital Partners proved three in 2009 and 13 in 2008. private equity can get away flo- Last May, for example, Qatar tations with great success Holdings acquired Harrods, at when they took chemicals No9 on the list, from Mohamed group AZ Electronic Materials al-Fayed for a reported £1.5 bil- to the market in November, lion. More recently, Doughty raising £383m amid heavy Hanson beat off stiff competi- demand for its shares. tion to buy Vue Entertainment, At a time when debt is nei- at No 7, from Coller Capital and ther cheap nor easy to arrange the hedge fund Och-Ziff in a and good businesses command deal that reportedly valued the relatively high prices despite cinema operator at £450m. the low-growth macro environ- An encouraging and impor- ment, large private-equity- tant sign, given the exit pipe- backed firms can no longer rely line that has built over recent on financial engineering to lean years, is that the exit create value. Instead, we market shows signs of life believe factors such as strategic again, in part driven by sec- change, operational excellence ondary deals but also, increas- and bolt-on acquisitions will ingly, by trade buyers dusting deliver the outstanding profit off growth plans after years of growth demonstrated by this cutting costs and capital year’s 10 Biggest companies. expenditure. As a result, we expect to see Foreign buyers have been large leveraged buyout houses particularly active, encouraged continuing to be innovative in by the weak sterling exchange their deal-making, from rate. Many of the deals have seeking smaller buy-and-build been in the energy market. For opportunities to operating in example, in December General less traditional sectors for them Electric agreed to buy quoted such as banking and insur- oil-and-gas group Wellstream ance,and from seeking partner- for about £800m and in July ships with corporates to Hong Kong businessman Li Ka- growing their presence in less shing snapped up EDF’s British developed economies. We look networks for £5.8 billion. forward to supporting them. Even the IPO market, which n Chris Hyams, head of Deloitte's has been unwelcoming since private equity transaction services the onset of the recession, is business, was talking to Catherine showing signs of life. The Wheatley

Harrods: bought by Qatar Holdings for a reported £1.5bn