WFEL

Deal Summary

Catalyst acted as lead advisor to Dunedin Capital Partners on the management buy-out of WFEL from United Technologies Corp.

WFEL, based in Stockport, is the world’s leading manufacturer of military tactical bridges, having a workforce of 160 providing high specification, high functionality, and complex bridging systems predominantly to the US Department of Defence and UK Ministry of Defence. In addition, WFEL is the sole supplier of specialist consumable steel rods used in the reactors of the UK’s fourteen Advanced Gas Cooled Nuclear Reactors.   WFEL has a range of mobile bridge products which also have applications in disaster relief and non-military domains. These bridge systems can be transported by landrovers, helicopters or dropped by parachute from aircraft. 

What difference did we make?

Catalyst was aware of WFEL when it was owned by Kidde plc, which itself was subsequently taken over by United Technologies. It quickly became clear that WFEL was non core to its new owners and Catalyst was instrumental in securing the opportunity for Dunedin to back the management team and buy the business.   The greatest challenge in this transaction was raising the debt funding whilst participating in an auction process which was not appropriate for a business of this complexity and customer sensitivity . The business has a small number of long term contracts with two principal customers which meant that a innovative financing package was needed combining leveraged debt and asset based finance.

Catalyst made a real difference to Dunedin’s decision to invest in WFEL by introducing the chairman who was an ex-managing director at GKN Westland Helicopters with considerable experience in selling high value items in the global defence sector.