ATGroup directors in multi-million buyout

Jun 17 2008 by Alex Turner, Liverpool Daily Post

THE management of Haydock-based AT Group (ATG) has completed the multi-million pound buyout of the electrical engineering company.

It was led by managing director Rob Rushton and the company’s four other directors, who have been with the company for a total of 70 years.

The firm, which was founded in 1984 and employs about 300 people, provides engineering site services and it designs and builds control services.

The original management buyout, in 2001, saw the directors acquire a 49% stake in the company with the remaining 51% acquired by the equity and debt finance provider, Close Brothers Growth Capital.

This secondary buyout has seen Close Brothers sell its stake, making the directors the outright owners of the business.

John McDonald, operations director at ATG, said: “We have been successful because we have proceeded at a steady pace, it has been gradual growth.

“We have got a very long history with major blue-chip organisations, like Shell, Siemens and United Utilities. We have got a healthy future with the customers we have got.”

The company serves a UK-wide customer base and has major North West clients, including contracts with Shell’s Stanlow refinery and pharmaceutical giant Eli Lilly’s Speke operation, each worth about £2m-£3m a year.

ATG’s last published accounts, to September, 2006, showed a pre-tax profit of £712,000 on a turnover of £15.8m.

Mr McDonald said: “It wasn’t difficult to get finance in the current conditions. We put out our business case and we got a lot of interest.

“ATG is well-established, has a proven track record, and has strong relationships with its customers. It’s a safe bet.”

The financing has been provided by Alliance & Leicester Commercial Bank. Relationship manager Gary Guest said: “ATG is a successful firm, serving blue chip clients across the country with a range of specialised services.

“The directors know the sector intimately, and have a wealth of experience and contacts. I have every confidence ATG will go from strength to strength under its new ownership.”

alex.turner