We are pleased Carroll & Meynell, the Stockton-on-Tees-based transformer manufacturer, has secured funding to allow it to exit its CVA, Supervised by Martyn Pullin and Iain Townsend from our Restructuring Advisory team, with investment from Oxygen Partners.
Established in 1970, Carroll & Meynell designs and manufactures high quality transformers and coil wound products that support the construction, transport, mining and power distribution sectors. The business employs 38 people at its site at the Durham Lane Industrial Park.
FRP originally secured approval to a five-year CVA for Carroll & Meynell in 2020 rescuing the business and facilitating the restructure of its operations and saving 38 jobs. Following consultation with management and Oxygen Partners, a variation to the CVA was approved by creditors to pave the way for Oxygen Partners’ acquisition and investment.
The transaction enables Carroll & Meynell to exit its Company Voluntary Arrangement (CVA) – an insolvency process used to repay creditors.
Commenting on the deal, Restructuring Advisory Director Iain Townsend, said: “The CVA process provided vital support for Carroll & Meynell as it went through a challenging period. But, with more than half a century of experience in its field, the business has remained resilient and ultimately attracted interest from investors. Oxygen is a great fit and will provide the specialist support that can take the business into a new era.”
Angela Torrance-Meynell, Director at Carroll & Meynell, said: “We’re thrilled to be working with Oxygen who can help us further strengthen the business for the future and drive investment, which will build on the incredible talent we have in our team, our rich manufacturing pedigree, truly world class offering and Mike Meynell’s legacy.”
Steve Benger, Partner at Oxygen, and who previously worked in the electricity supply industry, will join the business as MD. He said: “Our investment in Carroll & Meynell underlines our commitment to UK manufacturing. The business has a rich history both locally and nationally, boasting several market leading products, so we look forward to building upon this with Angela and the team. We would also like to pay tribute to all the hard work of Mike Meynell, who’s retiring after 52 years at the helm of the business.”
Oxygen Partners was advised on the deal by PDT Solicitors. The business was advised by Punch Robson and Debt finance facilities were provided by Close Brothers Invoice Finance.