Investment firm Marlowe Holdings has signed a £13m deal to buy out Salford fire protection firm Swift Fire and Security.
Swift has 270 staff – 129 service engineers and 34 sales managers – working across four offices, with its headquarters at Broadway near MediaCityUK.
Its work in the main focuses on installing fire and security systems, maintenance and monitoring.
Swift was founded in 1982 by current owner Nigel Jackson.
Last year it posted a revenue of £21m with pre-tax profits just shy of £1.5m.
57 per cent of Swift’s revenue is taken from recurring contracts.
Manchester-based Marlowe, which is listed on the London Stock Exchange, has as a major shareholder Lord Ashcroft, the chairman of the Conservative Party.
The deal will be paid for with £8.5m in cash with £1m to follow on 31 May.
Commenting on the deal, Marlowe chief executive Alex Dacre said: “The acquisition of Swift is the first step for Marlowe as we start to build a leading support services company focussed on critical asset maintenance services.
“Since May 2015, when Charles Skinner, Derek O’Neill and I joined Peter Gaze on the board we have, I believe, developed a deeply considered and tested strategy.
“During our search for targets we came to realise that Swift, led by industry veteran Nigel Jackson, was an ideal platform for growth in our chosen markets.
“Swift benefits from a broad base of annuity-type recurring revenues in a market which is underpinned by stringent legislation and is displaying growing barriers to entry.
“I am confident that Swift will form the foundation of a dynamic business-to-business service group as we look to enhance shareholder value and generate consistent returns.”
Main image: Swift’s head offices on Broadway, Salford
