Cairngorm Capital Partners has announced the acquisition of Grant & Stone, adding another merchant business to its expanding portfolio.
Established in 1987, Grant & Stone trades via its three specialist building, plumbing and electrical divisions and has 29 branches across the Thames Valley, consisting of builders’ merchants, electrical wholesalers, plumbers’ merchants, timber merchants, as well as eight kitchen and bathroom showrooms and its ecommerce subsidiary, Trading Depot. Headquartered in High Wycombe, Grant & Stone employs 360 people and in 2019, achieved revenues of £100m.
Cairngorm Capital is acquiring the business from Grant & Stone’s founding shareholders and is backing the incumbent management team, led by Chief Executive, Nick House, Commercial Director Peter Cudd, and Divisional Managing Directors Andy Grant, Mat Miller and Matt Bland.
Grant & Stone reports that the business will “continue to aim to grow through a combination of new branch openings and acquisitions. The ambition is to transform the scale of the business and to become a market leader in the builders’ merchant sector in the region.”
Cairngorm Capital’s investment was led by Andrew Steel, Managing Partner and Stuart Whiteford, Investment Director. Andrew commented: “Grant & Stone is an excellent example of the sort of business in which we like to invest. Its employees, technical know-how and customer service are all exceptional. We are delighted to contribute the investment funding and industry expertise to support Nick and his leadership team in the next stage of Grant & Stone’s growth.”
Nick House, Grant & Stone’s Chief Executive said: “We welcome the investment and support from Cairngorm Capital. Our company is at a really exciting point in its development and is ready to capitalise on the numerous growth opportunities available to it. We have ambitious plans to fulfil but also the advantages of exceptional products, first-rate employees and a well-deserved reputation for superior service. I am looking forward to the next phase of our development.”
Bob Grant, one of the retiring founders of Grant & Stone said, “For over 30 years, our priority has been to provide our customers with the best products and outstanding customer service. Susan Grant, Richard Stone, Susan Stone and I are proud of all that we have achieved to date but we recognise that the company has the potential to achieve much more. This is the natural point for us to pass the company to new, trusted custodians who can deliver on its future potential. I am confident that Grant & Stone is in good hands and will go from strength to strength.”
Cairngorm Capital Partners LLP is a specialist private investment firm providing equity capital and management expertise to leading UK companies. It invests in well-performing, private mid-market growth companies in manufacturing, distribution and services industries, and has made a number of investments into the broader merchant sector in recent years.
Cairngorm Capital’s current portfolio now includes majority owned stakes in:
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