Sector:
Niche outsourcing services

Transaction:
MBO and Buy and Build

Status:
Realised

Valldata – Rapidata

In April 2016, Meridian acquired Valldata Services Limited and immediately thereafter, acquired and merged into it, Rapidata Limited.  Both businesses provided various out-sourcing services to the charity sector, for example inbound call-handling, donation management, and operational assistance for clients’ campaigns.

For separate reasons both transactions needed to be completed within four weeks of us being introduced to them. Working closely with management prior to completion, we were able to differentiate ourselves from all other potential funders by successfully navigating two complex simultaneous due diligence processes – and quickly. We completed both deals within the short timeframe demanded by both vendors, and both without the need for any external debt funding.

As part of our due diligence, management presented to us a clear case as to where we should focus our efforts in the enlarged group. With our support, they ably executed the plan, doubling group profits in the two years under their stewardship. Furthermore, they positioned the business such that we were able to extract strategic value on disposal which occurred in 2018 in two separate deals to trade buyers, namely The Woods Group and The Access Group.

As part of the disposals, senior management shared in the significant gains generated, reflecting their strategic and operational abilities that they consistently demonstrated throughout the investment.