Our companies:
Entec

About:

  • Leading environmental and engineering consultancy with 14 offices throughout the UK
  • Multi-disciplinary service provider offering engineering design, project management and environmental assessment to a broad range of markets mainly related to water, waste and energy
  • Strong market position in water engineering through its relationship with its former parent and a growing presence in environmental consultancy

Key facts

Sector: Services
Location: Newcastle (13 offices around UK)
Status: Realised
Website: www.amec-ukenvironment.com

Why we invested:

  • Highly experienced and proven management team led by Simon Armes-Reardon
  • Diverse client base and broad service offering – 60% of work underpinned by frameworks
  • Attractive regulatory and legislative demand drivers in water, waste and energy sectors

The deal

Size at investment: £23m
Bought from: Northumbrian Water
Date of investment: Oct 2005
Deal type: MBO
GCP board member: Bill Crossan, James Blake

 How we made a difference:

  • Innovative structure, which enabled management to retain a majority stake
  • GCP provided the flexible funding platform to enable the business to grow organically and increase margins by focusing on pure environmental rather than engineering consultancy
  • Strategic input on successful execution of the business plan through first three years of rapid growth, then adjusting course to accommodate market slow down in 2009
  • GCP led the exit agenda with management that resulted in the sale to Amec who saw a good strategic fit with their European Earth and Environmental business

Entec turnover

“It’s undoubtedly a partnership. There’s a real harmony in our objectives for growing the business.”

Simon Armes-Reardon, Managing Director, Entec

Exit result

Size: £70m
Sold to: Amec Plc
Date of exit: Mar 2010
IRR: 33%
Money multiple: 3x