Family business Hancocks Group, the cash and carry wholesaler based in Loughborough, has been sold in a management buy-out (MBO) led by chief executive Mark Watson, with backing from H2 Equity Partners.
Brothers Andrew and Adrian Hancock, who’s father Ray founded the company 50 years ago, will now step back from the £100m turnover company. The business has been owned and managed by the family for 50 years.
H2 Equity Partners backed the MBO, with debt and mezzanine finance from Investec. H2 were advised by Andy Harris and Richard Rose from the Birmingham office of BDO LLP and Jonathan Watkins and James Kerrigan of DLA.
Eversheds, PwC and London-based Cavendish Corporate Finance acted for the Hancock brothers on the sale and for Mark Watson and the ongoing management team.
H2 Equity Partners plans to build on Hancocks’ strong position in the market to take the company forward in the coming years. H2 and management will work together to expand the national depot network, continue to develop both the branded and own label ranges on offer and grow the online activities.
“This can only be great news for our customers, employees and suppliers,” says Andrew Hancock, former owner and Chairman of Hancocks. “From a sweet shop in Shepshed, our family has grown the business to a group that serves many thousands of businesses with their confectionery supplies. We now hand the baton on with pride, knowing that Hancocks can only go from strength to strength,” he adds.
Mark Watson will remain as CEO and is confident of a bright future for the confectionery company. “I am delighted to be leading such a strong company that has the prospect of becoming a much bigger player within confectionery wholesaling. We have some exciting plans and opportunities to take the business forward with H2 at the helm,” he says.
