Deal Summary
Dains Corporate Finance is pleased to announce that it has recently advised co-founders Mark and Steven Beckett on the sale of Derby-based SOS Wholesale Limited to RDCP Group.
SOS Wholesale is one of the UK’s largest wholesalers of food and drink, with revenues in excess of £45 million in 2021. The business employs 120 staff based across its 70,000 square foot warehouse and distribution centre in Derby and sales office in Barnsley. Its product range extends across over 4,500 lines, selling major brands such as Mars, Walkers, Heinz, Nescafe, Colgate, and Fairy, which it delivers throughout the UK and exports worldwide.
The existing management team will continue to be led by Mark Beckett and Vipin Patara. They will work closely with RDCP to grow the business further, with plans to expand SOS Wholesale organically via developing its sales channels and product range as well as acquiring smaller competitors.
The service we provided
Having built a very successful business over the past 20 years, Mark and Steven decided approximately two years ago to create a succession plan in order to facilitate their retirement. Their goal was to realise the value that they had created to date and to ensure that the business was left in the hands of a buyer who would continue to further develop the business.
We worked closely with Mark and Steven to develop their exit plan, and as part of this process spent a considerable amount of time identifying an appropriate purchaser. Having received strong interest in the SOS Wholesale business from both trade and financial investors alike, we were attracted to RDCP’s acquisition model. They are a longer-term investor in businesses which made them stand out from the more traditional private equity model, and we quickly saw the benefits of choosing RDCP as the long-term investor in SOS Wholesale.
What our client said
“After founding the business over 25 years ago and developing it to become one of the UK’s leading wholesalers of food and drink, selling the business was not an easy decision for Steven and myself.
The team at Dains, led by Roy Farmer, made the sale process incredibly smooth, and his wealth of experience was invaluable. Roy and his team were there for me and supported me throughout the entire process, and we always felt confident that Dains would achieve the right outcome for us. We are delighted with the result that was achieved and are extremely grateful for the advice and support that was provided to us, and we would thoroughly recommend Dains to other business owners considering a sale of their business.”
What we said
Roy Farmer, Corporate Finance Partner at Dains, said: “I am delighted with the result that we have achieved for Mark and Steven, which allows Steven to retire immediately and Mark to work alongside Vipin for a period of time. I am confident that SOS Wholesale, under the leadership of Mark and Vipin and the ownership of RDCP, will go from strength to strength.”
Sell-side advisers on the transaction
Corporate finance advice was provided to the shareholders by Roy Farmer and Constance Host of Dains Corporate Finance and tax advice by Adam Longmore of Dains Accountants. Legal advice was provided by Martyn Brierley and Mark Wilcock of Flint Bishop.
