Avocet had worked with this client since December 2017 on its 1 = 4 Increased Value Programme.
Initially valued by Avocet at £1.85m, this family owned Construction business needed help in the following areas:
- De-risking the business by ringfencing each Division against default in the main Projects activity
- Introduction of procedures for assessing Contract Risk rather than just bidding for "attractive" headline value contracts
- Introduction of Budget disciplines
- Review of non family management talent
- Growing the high margin recurring income Service & Maintenance Division
In July 2020 the business was sold with the exit of all family members, for £3.2m, all payable at transactiion date. This sale price represented a 73% premium to the December 2017 valuation 2.5 years earlier.