Harvard Engineering has sold a minority shareholding for an undisclosed sum to private equity company ECI Partners to fund its future growth strategy.
The Wakefield company says the investment will allow it to further build on its strategic growth plans, which include increasing employee numbers from 300 to 500, enhancing the company’s range of products and building a new research and development and manufacturing facility.
Harvard managing director John McDonnell
Harvard, a Financial Times Profit 100 company, only moved into its current premises in February 2011, but it has already outgrown the facility. The company wants to continue to manufacture all of its products in the UK and has already identified a new site close to its current location.
As part of Harvard’s strategic plans, the company has also made a number of senior appointments including an operations director, a new head of quality and regional international sales managers for Southern, Northern and Central Europe.
Over the course of the last three years Harvard has seen employee numbers and turnover more than double. It has also opened offices in France, Italy, Germany and USA as part of a five-year growth strategy to increase its export business from 25 per cent of turnover, at the end of 2011, to 50 per cent by the end of 2015. John McDonnell, managing director at Harvard commented, “The investment is wonderful news for Harvard, as it will allow us to strategically build on our already growing market share and international presence. Despite the deep recession, demand for our products continues to grow across the globe.”
Mark Keeley, investment director at ECI commented, “As a growth focused investor we look for businesses which have strong management teams who have driven growth despite the global recession and in particular have expanded successfully overseas. Harvard ticked all our boxes. We are excited about working with John and his team to help the business continue its global expansion.”
David Hardless of Park Place Corporate Finance, who acted as lead advisors on the transaction commented, “John McDonnell has built an exceptional business that is well placed to participate in the LED revolution which is taking place in the lighting industry. ECI’s involvement will add further impetus.”
