August 3, 2010
The exit represents a 2.7x return on investment and demonstrates Baird’s ability to deliver value through its international operating resources in spite of a tough economic environment.
- Baird led the buy-out of Paddock from its founder in 2006, backing the then sales director, Nigel Hutchinson, to lead the business.
- At the time of the deal Baird introduced David Fraser, one of its operating partners, and instigated the strengthening of the team with new operations, sales, technical and finance directors.
- Baird’s international operating resources led the development of Paddock’s Asian sourcing capabilities and introduced India-based engineering design and product development partners.
- Operational improvements and off-shore savings drove record profits, including a significant increase in gross margins, over the course of Baird’s involvement.
“We approached ASSA ABLOY at the time of the buyout, as the key acquirer in the sector and maintained a relationship with them during our investment period. Under Baird’s ownership, the business has developed internationally into US, Europe and Asia and I have no doubt that, as part of ASSA ABLOY, the business will continue its successful international expansion.”
Paddock CEO, Nigel Hutchinson added “Baird has been a fantastic partner for us over the past years. They have been highly supportive of our growth strategy in a tough market and provided real help and significant operational expertise through their international network.”
Notes to editors
Baird Capital Partners Europe, the U.K.-based buyout firm of Baird Private Equity, invests in U.K. middle market companies with an established annual turnover of £10m to £100m. Since 1971, it has completed over 150 private equity investments in the business services, manufactured products and healthcare sectors, where it has deep experience, knowledge and ability to add value. The group backs management teams with a strong track record and desire for further success. Baird Capital Partners Europe is supported by operating resources in China (Beijing, Hong Kong, and Shanghai) and India (Bangalore), focused on facilitating and executing Asia sourcing, manufacturing and distribution strategies for its portfolio companies. For more information, please visit www.bcpe.co.uk.
For additional information contact:Baird Capital Partners Europe
+44 (0)20 7667 8400
+44 (0)20 7667 8457
+44 (0)20 7726 8400
Vanessa Maydon / Rachel Thomas
+44 (0)7787 504 447