Programme: Investment Programme and our other commercial investments
Founded in 2001, IPS is a UK SME based in London and is a leading supplier of pharma ‘specials’ to UK pharmacies. The Business provides bespoke unlicensed medicines created for patients where there exists no licenced alternative for presentation and/or formulation reasons.IPS was looking for finance to acquire the shares of the majority shareholder who was looking to exit the business.
Recognising the potential growth prospects, Ashok Patel (the Chairman and Founder of the Business) wanted to re-acquire control of IPS. Ashok was offered a short period of exclusivity by the shareholder within which he had to deliver the offer he had agreed.
Given the short timeframe IPS engaged a specialist corporate finance advisor to assist them. After speaking to several market participants this specialist corporate finance advisor recommended Ashok and IPS speak with Beechbrook Capital, having found their proposal to be the most flexible and deliverable. Beechbrook is a fund manager supported by the British Business Bank’s Business Finance Partnership Programme.
Beechbrook were able to arrange and tailor a £21m financing package to meet IPS’ requirements. Beechbrook acted as a strategic partner for future growth and were able to meet the tight timetable. They were very hands-on with their diligence work and quickly formed a view and confirmed their terms, subject to limited-scope confirmatory due diligence. This reduced the amount of time lost through commissioning and reviewing extensive third party diligence work.
Mr. Ashok Patel, Chairman of IPS Limited said:
“Beechbrook’s speed, responsiveness and creativity allowed us to close the transaction within the short timeframe. We are excited about capitalising on the growth opportunities that we have identified with a supportive partner.”