Aqualux Product Holdings

Deal Summary

Catalyst advised the shareholders of Aqualux Product Holdings (Aqualux), a management buy-out backed by LDC, on the sale of the business to Swiss based trade buyer AFG Arbonia-Forster, in a transaction valued at CHF52 million.

Based in Wednesbury, Aqualux is a leading provider of bath screens and shower enclosures. It supplies the UK DIY market, independent sector, specialist retail sector and export markets and offers branded and non-branded products ranging from budget through to high-end price points.

What difference did we make?

Aqualux became a client of Catalyst at the time of a previous management buy-out in 2004. We were appointed to complete a review of potential strategic trade buyers on behalf of LDC to help support their investment case and give them comfort on future exit options for the business.

During management and LDC’s ownership of the business, Catalyst continually updated our research on the potential trade buyers and reported to the board on the prospects for sale.

In 2006 it was agreed that the timing was right and Catalyst was appointed to market the business with the aim of maximising the price and, if possible, ensure management remained with the business post-exit.

Catalyst approached a short-list of financial buyers and trade buyers, making extensive use of our overseas partners given the highly international nature of the bathroom supplies market.

The conclusion was a sale to AFG Arbonia-Forster, a Swiss publicly listed group who were the preferred bidder and able to complete the deal within four weeks of being granted exclusivity. We also met our objective of agreeing a deal that enabled the management team to remain with the business post-sale.