Background

Swedish-based FM Mattsson Mora Group AB, Scandinavia’s leading supplier of kitchen and bathroom taps, approached FRP’s Corporate Finance team to advise upon their potential acquisition of Netherlands-headquartered Hot Bath B.V..

Hot Bath is a leading supplier of kitchen and bathroom taps and shower systems, primarily in the Netherlands; in the year prior to acquisition the company had a turnover of more than £17 million, and employed 37 people. Hot Bath’s Italian sister-company, Hot Bath SRL, was also acquired as part of the deal in a separate transaction.

Action

We provided a full buy-side support role including target appraisal, site visits, indicative valuation, offer structuring, negotiating commercial terms and project managing the deal, along with all buy-side work streams from initial contact to completing the share purchase agreement.

Our East Midlands and Bristol Corporate Finance teams worked together to support the client, combining sector experience and the knowledge and resources to deliver a complex multi-jurisdictional transaction.

Outcome

FM Mattsson Mora Group AB acquired Hot Bath B.V. and Hot Bath SRL for an initial €17.7 million, with potential further consideration subject to earn-out provisions.

The businesses will operate as part of the wider group, with their existing management teams, brands and locations remaining in place to drive future growth. The deal demonstrated FRP’s ability to manage complex M&A deals across multiple jurisdictions. Other advisers on the deal included Dutch, Swedish and Italian lawyers for both parties, Dutch financial advisers for the vendor, and due diligence providers in the Netherlands.

“We were very pleased with the support FRP provided. They were highly responsive and available throughout the process and their expertise in managing a complex transaction, as well as the quality of their strategic advice, contributed to a great outcome from the project.” Martin Gallacher, CFO of FM Mattsson Mora Group AB