Our companies:
Tangerine

About:

  • Manufactures both branded and private label sugar confectionery and operates across seven factories throughout the UK
  • Owns a number of its own brands including the leading marshmallow brand, Princess, the popular Butterkist popcorn brand, the iconic Barratt Sherbet Fountain and Jameson’s chocolate confectionery

Key facts

Sector: Food
Location: Blackpool, Poole, Liverpool, York
Status: Realised
Website: www.tangerineuk.net

Why we invested:

  • High quality incoming management team led by Steven Joseph, to supplement incumbent operations staff
  • Attractive deal dynamics where price was a discount to net assets
  • Diversified customer base with limited concentration
  • Largest independent confectionery manufacturer in the sector with real scale

The deal

Size at investment: £8m
Bought from: Toms Gruppen
Date of investment: Jan 2006
Deal type: MBI
GCP board member: Garrett Curran

How we made a difference:

  • Underwrote the whole deal at point of investment to deliver a flexible and effective package for management and enabled them to retain a majority equity stake
  • Supported strategic agenda of operational efficiency improvement and increased capacity to increase profitability
  • GCP played a key role in the growth by identifying and executing a targeted acquisition strategy including Burtons and Monkhill – both identified pre-investment
  • Key strategic role in securing external funding and negotiation with banks to deliver the Monkhill deal
  • Led exit process with management resulting in a secondary MBO to Blackstone

Tangerine turnover

 

“They backed our strategic vision to grow through investment and acquisitions and have never wavered in their support.”

Steven Joseph, Executive Chairman, Tangerine Confectionery

Exit result

Size: £115m
Sold to: Blackstone
Date of exit: Jul 2011
IRR: 31%
Money Multiple: 3.8x