Birmingham-based strategic land promoter, Richborough Estates has completed a Management Buy Out with debt raised from specialist fund manager, Beechbrook Capital, to support its growth ambitions.
Founded in 2003, Richborough Estates is one of the UK’s leading land promoters, with over 100 active sites around the country.
The company identifies and promotes land suitable for residential development in partnership with landowners, securing planning approval for the delivery of new homes and supporting infrastructure before jointly appointing a development partner.
This helps landowners and stakeholders to realise the potential of their land and bring forward sustainable residential developments that support existing communities, and ultimately assist Local Authorities to deliver government’s housebuilding targets.
Paul Campbell, Chief Executive at Richborough Estates, said: “As a land promoter, we incur all costs ourselves and are remunerated only after the site is sold to our chosen development partner. The planning process can be long and complex, often incurring considerable costs, so it’s essential that we have suitable funding in place to facilitate this process.
“The facility that we have secured from Beechbrook, with the expert advice of Alantra, enables us to both deliver our extensive pipeline of sites and also focus on new acquisitions nationally, with a strong and motivated management team.”
Tim Johnston of Beechbrook commented: “We have really enjoyed working with the team at Richborough, who are highly regarded in the land promotion market, and we are looking forward to supporting the Richborough team over the coming years as they continue to develop their excellent track record.”
The Midlands team of independent, global investment banking and asset management firm Alantra advised Richborough Estates on the MBO and fund raise.
Richard Sanders, Midlands Senior Partner at Alantra commented: “We are delighted to have supported this local success story. Richborough has been through a significant growth phase and is now well-placed to help fulfil the well-publicised housing shortfall. The business is currently working on a tremendous pipeline of opportunities and looks set to continue its growth trajectory over the coming years.”
In a busy start to the year for the company, Richborough Estates has also seen the departure of former joint managing director, Karl Parkinson-Witte.
Paul Campbell added: “Karl has been a part of Richborough Estates since the company was formed in 2003. We are of course very sad to see him leave this business on which he has had such a sizeable impact and into which he has poured so much hard work and commitment. It was a pleasure to work with him and the whole team here wishes him the very best for the future.”
About Alantra’s UK advisory business
Catalyst Corporate Finance combined with Alantra in October 2017 and the Catalyst partners now lead Alantra’s UK advisory business from offices in London, Birmingham and Nottingham. Rebranded as Alantra in April 2018 the firm now employs over 70 professionals based at three UK offices in London, Birmingham and Nottingham.
The team advises business owners, management teams and investors on all aspects of corporate finance, delivering a full range of services to UK clients, including M&A, Debt and Equity Capital Markets capability.
During the last 5 years, the UK advisory team has advised on over 120 transactions valued at over £6.5 billion.
Catalyst Corporate Finance was founded in 1998.
About Alantra
Alantra is an independent global investment banking and asset management firm focusing on the mid-market with offices across Europe, the US, Asia and Latin America.
Its Investment Banking division employs over 360 professionals, providing independent advice on M&A, raising debt capital, financial restructuring, credit portfolio and capital markets transactions.
About Beechbrook Capital
Beechbrook Capital, a specialist direct lender founded in 2008, invests in SMEs across a range of industries in the UK and across Europe. To date, it has raised over €800m through six funds, and has invested in 70 companies in the UK and European lower mid-market.