Sintons Supports Management Buy Out for TDX
North East manufacturer Thermodynamix Thermoforming Specialist Services Limited (TDX) has announced the buyout of retiring Shareholder Harry Reed, with funding from its new bankers Barclays and advice from Newcastle law firm Sintons and business advisers.
TDX, based at Team Valley Trading Estate, Gateshead, specialise in assisting businesses operating in the Thermoformed packaging industry and offer products and services both domestically in the UK and overseas into mainland Europe, India, the Middle East and America.
The company was originally established as a supplier of Thermoforming packaging design services, prototype samples and tool manufacture, however, in 2006 they diversified into Extrusion and created a new division manufacturing recycled plastic film for conversion into packaging items. This investment has seen the business experience significant growth and they now operate three Extrusion lines.
TDX was advised on the deal by Matt Collen, Partner in Sintons’ Company and Commercial department, alongside UNW Managing Partner Andrew Wilson and UNW Tax Partner David Ward.
Mark Prinn, Chief Executive, TDX said: “The management buyout will enable us to grow the business to the next level – building on our existing relationships and targeting new markets and new clients. Whilst negotiating on the MBO we felt that the time was right to find a new financial partner to support us in the next phase of our growth strategy and Barclays has provided a suite of banking products which will provide the flexibility for us to grow with confidence.”
TDX employs over 90 staff across the North East and has a turnover of £20m.
Matthew Elliott, Relationship Director at Barclays said: “We’ve been working with TDX for over two years now pulling together a bespoke package of products that will give the business the platform to achieve its future ambitions. The future looks bright for this well managed and forward thinking company which is well positioned to retain its leading position within its chosen markets.”
The move to Barclays includes a new funding deal which will provide working capital facilities and term funding through the Government-backed ‘Enterprise Finance Guarantee’ scheme, enabling the business to move forward with confidence under its new ownership.
Matt Collen, Partner in the Company and Commercial department at Sintons, said: “TDX has grown to become a key player in its industry, and from its base in the North East, it works extensively across the world. Sintons are very pleased to have been able to complete this management buy-out, which positions the business well for the future. I am confident that Mark and his team will now capitalise on their position to achieve further growth for TDX.”
UNW Managing Partner Andrew Wilson said: “UNW has been working with Mark and the management team at TDX for a period of time now, ensuring that they found the right funding partners for this transaction and to secure future growth of the business. TDX is a long standing UNW client so the deal was considered from all angles, including tax, and it’s great to see a smooth transition of ownership from one management team to another and the creation of an exciting future business opportunity.”