Non Core Assets

Within diversified businesses certain subsidiaries or business units can lack strategic fit or synergy benefits for the larger group. Non-core assets are typically underperforming subsidiaries and divisions of larger businesses which have decided to focus on their core activities.

Without new investment, ideas and focus non-core assets can drain value and prevent the achievement of wider strategic goals. Non-core assets may require new management or new capital investment and may be struggling with performance issues.

We are experienced in acquiring non-core assets and can offer an exit for larger groups wishing to dispose of such businesses. The benefits we can bring in these situations are as follows:

• We are an experienced turnaround investor and have the skill to manage the underperformance issues that affect many non-core assets.

• Our speed in transacting and our record on delivering transactions will give the vendor certainty in an exit process.

• We can bring in additional management resource through our Connections network of quality executives, chairmen and interim managers.

• We have a pro-active and confidential approach to working with vendors.

• We have recently closed our second fund of £164 million and have the appetite and ability to complete deals quickly.

We have strong credentials in this sector which include the following transactions:

• The acquisition of DavyMarkham, a £12 million turnover heavy engineering business from TH Global plc in July 2007.

• The acquisition of Cosalt Holiday Homes, a £40 million manufacturer of caravans and lodges from Cosalt plc in October 2008.

• The acquisition of H&L Garages, a £48 million turnover group of commercial vehicle dealerships from PD Ports Group

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