Chiltern Capital

We’re pleased to have arranged acquisition financing for private investment firm, Chiltern Capital, to support its investment in one of Ireland’s largest tyre and automotive services groups.

Based in London, Chiltern Capital invests in a wide range of B2B sectors within the UK and Irish mid-market, covering sectors including industrials, business services and technology services. It has now invested in Kerrs Tyres Group – a leading Irish motor services business that offers round the clock tyre services for both commercial fleets and private vehicles, along with regular maintenance.

Launched in 2002, the business now operates 27 autocentres across Northern Ireland and the Republic of Ireland. The investment will support the existing management team in delivering the continued expansion of the business through both organic growth and complementary acquisitions of operations across the UK and Ireland. This strategy is underpinned by the appointment of Andy Randall, former CEO of Halfords Autocentres, as chair of the board.

Our Debt Advisory team was appointed by Chiltern Capital to help raise financing for this investment. The team secured interest from multiple lenders before DunPort Capital Management was identified as the preferred funding partner. We were then able to negotiate a bespoke funding package including both committed and incremental acquisition facilities which will give Chiltern Capital the flexibility it needs to pursue a buy-and-build strategy with Kerrs Tyres Group.

The deal marks Chiltern’s third investment into the automotive sector, having previously invested in Steer Automotive and Rapid Repair Network.

Tom Cox, Debt Advisory Partner at FRP Corporate Finance, said: “The automotive market remains highly fragmented, and Chiltern were able to heavily lean on their experience in the sector. Chiltern rapidly identified the tyres and servicing sector as an attractive sub-segment for market consolidation through a buy-and-build strategy, with a view to expanding the platform and creating operational efficiencies as part of a wider group that will support the long-term growth strategy.

“Chiltern’s experience in the sector, combined with its clear plan for the future of the business, makes it an exciting partner for Kerrs Tyres and it was a pleasure to help them complete this transaction.”

Ben Robinson, Investment Director at Chiltern Capital, added: “It’s clear to us that Kerrs has a history of delivering exceptional service, driven by a talented team, and we knew we wanted to be part of their journey. We are excited to work closely with Norman and Andy as we support them on the growth journey, leveraging our track record of successfully investing in businesses operating in the automotive aftermarket.

“I’m grateful to Tom and the team at FRP Corporate Finance in helping us to get this deal over the line. Their detailed support from day one helped us to secure the right funding package to support our efforts to build on the strong reputation Kerrs has built for itself.”