Penta Capital acquires significant stake in ID Support Services Holdings Limited
Penta Capital, has acquired a substantial stake in Manchester-based ID Support Services Holdings Ltd (IDSS) for an undisclosed sum.
Penta Capital Partners Limited (Penta) has acquired a substantial stake in Manchester-based ID Support Services Holdings Ltd (IDSS) for an undisclosed sum.
IDSS employs over 230 people and operates through two trading groups: ID Technology Group, which employs 100 staff from its base in Middleton, Manchester, is one of the UK’s largest independent providers of electronic security solutions. It specialises in the design, installation and maintenance of elecronic surveillance systems including CCTV and Access Control; and through ID Intact, IDSS’s specialist alarms subsidiary, delivers similar services for intruder and fire alarms. Clients include Compass Group, Currys, Debenhams, GAP, HMV, PC World, Philips, Sainsburys, TK Maxx and Wilkinson. GK Industrial, based in Doncaster, employs 72 staff and designs and installs energy efficient, climate control solutions. It is a market leader in the provision of bespoke air conditioning, heating and electrical systems and provides service and maintenance support on a national scale. GK Scotia, based in Glenrothes, employs 62 staff and provides a similar service to the Scottish market. Customers include Brighthouse, Capita, Dalkia, Laura Ashley, Next, Philips, RBS, TK Maxx and Wilkinson.
In the year to 30 June 2008 IDSS has grown by 42% with revenues of £26.5 million. During the year the Group acquired ID Intact Limited on 1st November 2007 and GK Scotia on 16th December 2007. These acquisitions have now been bedded into the trading divisions of the Group. Further acquisitions and strong organic growth are planned for the coming year.
The deal allows Aberdeen Asset Managers Growth Capital (“AAMGC”) to substantially exit the business. AAMGC invested in IDSS alongside the incumbent senior management team in March 2007. IDSS management, led by Chairman Brian Dunn and Chief Executive David Metcalfe, and Penta plan further investment to fund future growth and acquisitions to secure the position of IDSS as a leading national service provider to blue chip, multi-site customers in the retail, public, leisure and commercial sectors.
Brian Dunn said “This strategic investment by Penta will give the business greater growth potential as it progresses towards its goal of becoming a £100m turnover support services company. Our services are adding real value to our customers, and we have identified a number of opportunities that will improve the breadth and depth of our service offering. We are looking to grow the business both organically and by acquisition.”
Michael Scherpenhuijsen of Penta commented: “We are delighted to be investing in IDSS which is a quality, well managed business with strong customer relationships. The business is at an exciting phase in its development and we look forward to supporting management in their plans for further growth.”