West Pennine acquired by Palletower

West Pennine Group has described its new strategic partnership with Palletower as “an ideal combination for future growth and success” following a transaction overseen by KBS Corporate.

Founded in 1988 and based in Haslingden, Lancashire, West Pennine is a leading warehouse equipment distributor which designs and supplies racking and shelving systems.

Also specialising in mezzanine floor installations, West Pennine prides itself on providing a complete range of equipment to suit the specific requirements of any industrial environment.

After a process which was coordinated by Zaahid Akhtar, KBS Corporate Deal Executive, and was completed significantly less than 12 months since coming to market, West Pennine will now trade under the Palletower group.

Palletower, based in Sale, Greater Manchester, is a world leader in producing and supplying storage and logistics equipment which exports to over 35 countries globally and has depots in the Czech Republic and Finland.

“We collectively decided the business would benefit from new owners (potentially as part of a larger organisation) to help it grow and be successful in the future, whilst at the same time we wanted to retire, so a commercial sale made great sense,” explained Colin Evans, who is exiting West Pennine along with fellow directors Steve and Julie Mercer.

“We think it’s an excellent fit with the new owners. It’s a complementary business to the buyer’s existing business, which is growing and ambitious, and therefore we think it’s an ideal combination for future growth and success.”

Colin also extolled the benefits of selling a company as he commended the role in the transaction of KBS Corporate and Zaahid Akhtar.

“Our transaction demonstrated that even a privately owned micro-business can have commercial value in the eyes of potential buyers, and anyone thinking of exiting shouldn’t just shut up shop but should explore the opportunities to sell it and realise some financial benefits,” said Colin.

“We were very apprehensive that a small business like ours would attract potential buyers. The most satisfying part was that using professional advisors such as KBS presented us with multiple interested parties and ultimately their network put us in front of the ideal buyer.

“Ours was a very simple sale process, so we didn’t need a lot of complex technical advice, just good support to help us with the negotiations and closing process which was well supported by Zaahid.”

Matthew Palmer, Palletower’s Managing Director, added: “Acquiring West Pennine enabled us to purchase an established and well-respected business within the racking and shelving industry.

“The companies’ product ranges complement each other perfectly as both sets of customers require one another’s products.”

Palletower also praised the part KBS Corporate played in the transaction, saying: “KBS provided a good introduction and handled all our information requests professionally and on time.”

Zaahid Akhtar was delighted to achieve a highly satisfactory and timely outcome.

“From initial negotiations right through to completion, the proactive approach from all parties streamlined the transaction process and allowed completion ahead of traditional timeframes,” explained Zaahid.

“This ensured West Pennine would continue to grow and thrive under the ownership of Palletower.”

Zaahid also paid tribute to the contributions of colleagues and external service providers for their work during the course of the transaction.

“Special thanks to Daniel Calderbank (KBS Corporate Document Writer) for producing exceptional marketing materials and Elle Grime (KBS Corporate Research Analyst) for identifying Palletower as a prospective acquirer,” said Zaahid.

“I would also like to thank Emma Hope and the wider team at Ison Harrison solicitors for their highly valued efforts and diligence in the sell-side legal process.”