Riley future secured by £1m buy-out

Derby company Riley Product Handling Limited has been acquired by its management in a £1m management buy-out

The business designs, manufactures and supplies food and product handling equipment largely for the biscuit and snacks industries.

The new company will maintain the existing name in the takeover from the vendor – a subsidiary of SIG Holdings (UK) Limited, part of the Swiss SIG Group.

The management team, based at the Meteor Business Centre in Derby, were advised in the MBO by leading regional law firm Edwards Geldard.

Andrew Borkowski, partner at Edwards Geldard’s Derby office, said: “This deal secures the future of one of the region’s most innovative companies, giving it the scope to continue to build on its current success.

“At a time when confidence in the economy is generally low, it is a great boost to see a local company complete such a substantial deal.”

Steve Oakes, corporate finance partner at PKF added: “By putting together a deal which relied on the flexibility of the vendor, and looking at creative options for funding, Riley has shown the way to other companies in the region that may be looking at acquisitions, mergers or exit deals.”