RSM’s corporate finance team has advised on a vendor initiated management buy-out (VIMBO) of the Indigo Software group, a Durham-based warehouse management software provider.
The RSM team, led by corporate finance partner Tony Edwards with support from Kevin Rooney and Andy Graham, shaped the deal and assisted the management team to obtain a funding package from Barclays to support the next phase of growth for the business.
Indigo is a leading warehousing and logistics provider, implementing warehouse management software solutions for customers in the UK and globally. Founded in 1980 by Peter McLane, the company continues to expand internationally and launched Indigo Software Asia Pacific (Indigo APac), a wholly owned subsidiary in Hong Kong earlier this year.
Under the transaction structure, Peter McLane will be appointed as a non-executive director to support the newly appointed CEO, Mike Hill, CFO Bill Ginn and the rest of the senior management team.
RSM worked alongside Aaron Clark at Barclays to obtain the funding package for Indigo and Ward Hadaway provided legal support for the lender. Bond Dickinson’s Jamie Pass acted as legal advisor to the majority shareholder and Mark Adams from Hay & Kilner acted as legal advisor to the management team.
Tony Edwards, Corporate Finance Partner at RSM, said:
‘Indigo Software is an ambitious business that continues to expand in the UK and internationally - it’s a real success story for the North East technology and software sector, which continues to thrive.
‘It’s been great to work alongside Peter and the senior management team to shape a deal that complements the needs of all parties and supports the future growth of the business.’
Mike Hill, CEO at Indigo Software commented:
‘Completing a management buyout was a natural succession plan for Indigo’s former managing director and founder and we believe it’s the best possible outcome for all our stakeholders. Indigo has an outstanding customer satisfaction record, solid technology which continues to grow in strength and very ambitious plans for the future.’
Aaron Clark, Relationship Director at Barclays, said:
‘We are absolutely delighted to have supported the management team of Indigo complete this buyout and I look forward to supporting the businesses growth aspirations moving forward.’
Mark Adams, Partner at Hay & Kilner, said:
‘We were delighted to support Bill and the rest of the management team throughout the buyout. We wish them every success with their future plans.’