Premier Modular, a manufacturer of temporary and permanent modular buildings for hire or sale, plans to use the money that Cabot Square is putting in to grow the business 50% within three years.
The purchase price has not been disclosed.
Premier Modular, formerly Waco UK, was previously subsidiary of South African group Waco International.
Cabot Square is a London private equity outfit that also owns another modular building maker, Net Zero Buildings, which it acquired in 2015.
Established in 1956 and headquartered in East Yorkshire, Premier Modular posted revenues of 拢66m for the year to 30th June 2020 (2019: 拢53m) and made a pre-tax profit of 拢7.0m (2019: 拢5.7m).
Premier鈥檚 recent workload includes a 拢50m project to provide office and welfare buildings at Hinkley Point C. Currently under way is a multi-million-pound contract for Covid-19 testing sites across the UK. It has also recently been awarded a 拢7m contract for a 62-bed ward building at St Peter鈥檚 Hospital in Chertsey, and a number of apartment schemes are now on site following its expansion into the residential sector last year.
Premier Modular managing director David Harris said, 鈥淭his new investment brings even greater stability and continuity to our business which will benefit our colleagues, customers, supply chain and strategic partners. We are looking forward to working with Cabot Square and a highly successful and productive business partnership.
鈥淲e have a clear vision and strategy for the next phase in our growth and have ambitious plans to increase turnover to 拢100m within three years, providing a healthy return for our shareholders.鈥�
Keith Maddin, a partner at Cabot Square, said: 鈥淢MC and offsite manufacturing are revolutionising the construction industry. We are seeing significant growth as more public and private sector clients develop a deeper understanding of the speed, quality, cost, environmental and social benefits of moving construction into a controlled factory setting. There has also been a surge in interest in offsite following the Covid-19 pandemic as more construction clients and contractors recognise how the approach can reduce risk and disruption on site.
鈥淧remier is a high-performing, profitable business, which manufactures high quality building solutions and continues to expand its hire fleet 鈥� already one of the newest in the UK. We are excited to partner with its outstanding management team and support the business on the next phase of its growth, including sector and geographical expansion.鈥�
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