Regent advises Cablecom on its MBO backed by ISIS Equity Partners
| Buyer | ISIS Equity Partners |
| Seller | Cablecom |
| Business | Managed Network Services for the education sector |
Regent advises Cablecom on its MBO backed by ISIS Equity Partners
ISIS Equity Partners has invested in CableCom Networking, the UK’s leading provider of IT and communication services in student and key worker accommodation. Value was not disclosed.
Founded in 1993 by Chris Elliott, the managing director and majority shareholder, CableCom employs 36 people at its premises in Clevedon, near Bristol. It provides internet access, broadband telephones, digital television and internet security services to apartment blocks housing students and key workers.
Around 40,000 tenants currently use the services, most of them in the 18 to 25 age group. The service is popular with landlords as there is no initial outlay required and it significantly enhances their ability to attract tenants.
CableCom’s clients include universities, NHS trusts, housing associations, private accommodation providers and utility companies including BT and Orange. The business has been expanding rapidly and in the two years to September 2006, achieved compound annual growth in earnings of over 150 per cent.
Following the transaction Mark Burchfield will take over the role of managing director with continued support from operations manager Steve Green and finance director Andrew Maynard. In addition Gareth Denley will join Cablecom and bring considerable experience to the team in his role as chairman.
Mark Burchfield commented: “CableCom are very well positioned to provide new and exciting communication services to the high density multi tenanted accommodation sector. We have been very impressed with the professional yet friendly approach from ISIS and we strongly believe that with their backing we can further capitalise on the prevailing market opportunities and in turn provide benefits to our clients, employees and suppliers.”
“Throughout the transaction the ISIS investment team remained committed to the deal providing additional funding to allow the business to fully capture the opportunities available. The deal will allow the management team to realise some of the value in the business, while providing CableCom with a better platform for growth.”