Inspired Thinking Group
Deal Summary
Catalyst advised the management of Inspired Thinking Group (ITG) on their development capital fund raising to finance the acquisition of Total Marketing Service LLP (TMP).
ITG provides services that help marketing departments significantly improve the efficiency of their marketing operations using the latest digital and data technologies. The business was formed by CEO, Simon Ward, and since then Ward and his team have used their knowledge and experience of the sector to gain some significant client accounts including Marks & Spencer, Punch Taverns and KFC.
What difference did we make?
Catalyst started working with the management team when they were formulating their plans to develop a focused retail support services business both through acquisition and organic growth.
Our initial brief was to identify potential acquisition targets in defined markets and understand how they would contribute to the overall strategy. Throughout this initial period we met with at least 10 potential businesses that could have been suitable acquisition opportunities.
Ultimately TMS stood out as the preferred target for acquisition. The business had developed an online software proposition for the retail market and had successfully launched the product to a number of well known retailers. We then worked with the owners of TMS to formulate a deal structure that both satisfied their expectations and was acceptable to our client, ITG and their potential funders. Having agreed the deal we then set about securing the finance for the transaction, introducing the company to a limited number of funders with experience in this sector.
This resulted in attracting a mix of equity and unsecured debt finance on competitive terms which both funded the acquisition price and also provided additional capital for future acquisitions, a key part of the strategy moving forward. The TMS owners are now key members of the senior team and working in conjunction with the ITG team to build on the successful start to the combined business.
