Kiowa is an independent supplier of over 75,000 industrial products such as industrial hoses, hydraulics and couplings, serving a diverse customer base across the UK and overseas. The company was established in 1991 and has seen significant growth over the years. Kiowa benefits from a loyal customer base with several relationships spanning over ten years. Headquartered in Sleaford, Lincolnshire, the company has a great geographical spread across six depots throughout the UK.
Lisa Needham, the majority shareholder of Kiowa, approached KBS Corporate with the sale of her business due to changes in her personal circumstances.
KBS Corporate implemented a diverse research strategy with interest coming from both trade and PE buyers.
Offers were received from 5 separate trade and Private Equity acquirers, with Italy based Alfagomma eventually being the successful party. KBS Corporate was initially able to secure an offer from Alfagomma prior to the pandemic; however, with Completion due in March 2020 this was delayed by the impact of Covid-19 in both countries. Once the situation began to stabilise KBS Corporate was able to progress the completion. Alfagomma is an international manufacturer of hydraulic and industrial fluid handling systems, with 3,915 employees across Europe, The Americas, Asia Pacific and Africa, and had an existing relationship with Kiowa as a supplier.
Guy Haynes, KBS Corporate Finance Corporate Director advised Kiowa throughout the process, with legals being provided by Ian Roberts and Nicola Bilner from TLT
“With the impact of Covid, this was a long journey to Completion which presented challenges to both parties. However, the parties were able to maintain cordial relations during the covid period, which enabled us to close early in 2021. The final offer was extremely attractive and offered a clean break to Lisa Needham, and with Alfagomma’s backing, the potential for Kiowa is enormous. People make deals work and here, the good nature of Anthony Towers and Lisa Needham was critical to this deal succeeding, and I am genuinely delighted to have helped enable this deal to succeed.”
The deal sees Kiowa Managing Director Anthony Towers, who held a minority stake in Kiowa, remaining with the company in his current role.
