National legal business DWF has advised private equity firm NorthEdge Capital on the secondary management buyout of Arthouse, one of the UK’s largest suppliers of interior décor products.
The investment will see NorthEdge take a majority stake in the Rossendale-based design business and supports Arthouse during its next phase of growth. The business currently supplies a wide range of design brands to major UK retailers including B&Q and Homebase and is looking to both grow its UK presence and expand into the US and Middle East markets with an increased service offering.
The deal, which also marks the exit of Total Capital Partners, is the latest investment from Northedge’s £225m private equity fund, with over £168m going into businesses across the North of England over the last two years. Jon Pickering, Director at NorthEdge and Investment Executive Harry Jones will join the board as Non-Executive Directors.
Jonathan Robinson, partner and Head of Private Equity at DWF, led on the transaction alongside Vicky Ross and Nick Hawthorne. Jonathan commented: “We were pleased to advise NorthEdge on another strategic investment, which will allow Arthouse to continue expanding its product line and will support the company as it looks to grow its customer base overseas.”
Jon Pickering, Director at NorthEdge Capital, added: “Securing the investment in Arthouse demonstrates the skills of the team at NorthEdge in originating off-market private equity transactions and also delivering wider funding opportunities for entrepreneurial businesses across the North of England. We have also been able to make use of our extensive network who worked alongside us to support us on this transaction.”
DWF was recently ranked the UK’s most active merger and acquisition legal advisor in a recent Experian report, following the completion of 88 transactions in the third quarter of the year, including the buyout of Wealth at Work by Palatine Private Equity and NewRiver Retail Limited’s acquisition of 158 Punch Tavern pubs.