National legal business DWF has advised the shareholders of Entertainment Magpie Limited (musicMagpie.co.uk), in connection with NVM Private Equity’s significant development capital investment in the business, enabling Europe’s most popular recommerce website to support its growth plans both in England and the US. DWF’s national corporate team has advised on a number of deals in the technology sector over the last year, including advising Capita on its acquisition of IT companies Electranet and Barrachd, and advising Equinity on the acquisition of TransGlobal Payment Solutions.
Stockport-headquartered musicMagpie.co.uk, which has over 3million users, offers a simple way for customers to sell and trade in electronics, providing cash for unwanted CDs, DVDs, phones and games, and the investment by NVM will allow the business to launch a new ‘faster payment’ option for consumers, who will be able to receive same day payment for items.
The deal will also see the exit of LDC from the business, whose 2011 investment in the recommerce business enabled its expansion to the US, where it now runs the Atlanta-based ‘decluttr.com’ website. NVM’s Andy Leach will join the Entertainment Magpie board alongside current members CEO Steve Oliver, COO Walter Gleeson, Group Electronics Director Peter Petrondas and IT Director Jo Smith.
Jonathan Robinson, partner and head of DWF’s private equity team, led on the deal with support from Nick Hawthorne and Francesca Kinsella. He commented: “Music Magpie is an ambitious business that has seen significant expansion over the last few years, and, having worked with Steve Oliver and the Music Magpie team since LDC’s investment we were pleased to advise on this investment which will allow the business to continue developing and growing its services for users during this next critical period of growth.”
The firm’s northwest team was recently ranked one of the UK’s most active advisers in the first half of the year, and recently advised financial services company Wealth at Work in connection with Equistone Partners Europe’s £50m buyout of the company from Palatine Private Equity, and the management team of Ideal Shopping Direct in connection with an investment by Blackstone.