“Show me the money!” – Private equity cash out deals are on the rise!
Have you got a growing and successful business but you’re not ready to exit but maybe at a bit of crossroads?
Would a bit of new impetus, a bit more gravitas in the market, a bit more strength on the board, a bit more powerful or persuasive branding, a bit more strategic clout/input/direction, and a nice cash injection at the same time (so you can reach out for those bigger and better projects and/or finance that strategic acquisition you have had your eye on for months or fund a series of bolt on acquisitions as part of a buy and build strategy), potentially transform your business and take it to the next level?
Do you want to "cash out" some investment in your business for higher than trade sale price, de-risk, access capital for quicker and maximum growth, secure liquidity for continuing family stakeholders or younger blood next generation owners, off load non-management minority shareholders, whilst still continuing to control, and be involved in, your business?
Then a private equity cash out deal might be the answer for you.
The Lupton Fawcett LLP Corporate Team are seeing a surge in these types of deal lately with stock piles of dry powder money (private equity dosh) at an all-time high and sitting idle, and private equity investors on a spending spree keen to sink it into something.
Also many business owners are attracted to the idea of having cash on the table and then working with the investor towards a secondary future full exit in say 4 to 6 years’ time for a significantly higher value than the partial exit price on the table.
The Smyle Creative deal we completed recently was a cracking example of the benefits and opportunities for stakeholders on a cash out deal – check out this link for details.
Sounds interesting? Worth exploring? We can make this happen. Contact Neil Large to set up a no-obligation coffee meeting at any location to suit to.
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Please note this information is provided by way of example and may not be complete and is certainly not intended to constitute legal advice. You should take bespoke advice for your circumstances.