D-Mec Services Ltd

Established regional HVAC specialist delivering end-to-end solutions

D-Mec was founded in 1996 by Paul Dowdeswell and his brother, John. The company delivers end-to-end HVAC solutions across Bedfordshire, Buckinghamshire and Hertfordshire, specialising in air conditioning, heat pumps and ventilation services.

The founders’ considerable experience within the industry meant the company has built a reputation as a trusted partner to commercial and industrial clients, working across the healthcare, education, aerospace and manufacturing sectors.

The business is an approved installer for numerous market-leading brands, enabling its team to install the most appropriate system for a client’s site.

Following John Dowdeswell’s retirement, Paul became the sole shareholder.

“We are all excited to become part of the Empower Group and to work with Nick Manning and his team to ensure D-Mec Services’ continued progression in offering our existing and new clients the highest level of service they have come to expect from us.”

Paul Dowdeswell, Owner, D-Mec Services

A planned share sale to facilitate founder retirement and orderly succession

The client was seeking a share sale to facilitate his own retirement. He was happy to provide a handover period, however was ultimately looking for a full exit in the foreseeable future.

With a considerable number of years in the industry, he had grown a very successful business and felt it was time to pass the reins on to new ownership.

Recurring PPM revenue, blue-chip sector exposure and approved installer status

The company generates strong revenue through planned preventative maintenance (PPM) contracts which have increased in number year-on-year, being offered to new clients following new installations.

D-Mec’s diverse client base has generated considerable amounts of repeat business, while the business holds accreditations with several key industry bodies.

Its status as an approved installer for several of the industry’s elite manufacturers ensures the quality and longevity of the equipment provided.

Target valuation secured and a bankable earnout structured

A team led by Charlie Neville, KBS Corporate Deal Executive, found a suitable buyer in a short space of time before starting the process of refining and ironing out the structure of the deal.

The initial negotiation stage was smooth, with the client’s price aspirations being met, although further down the line some complexities had to be navigated regarding the structure of the deal.

We negotiated the deal structure determinedly, securing improved terms and ensuring the client understood all aspects of the structure. The negotiations included ensuring the earnout post-sale was achievable, leading to further payment to the client.

We also assisted throughout the due diligence process, easing the demands on the client and allowing him to focus on running his business. This involved providing and uploading data we had on file and maintaining regular communication with the buy-side. We ensured the client was protected at every stage and made sure he felt comfortable with each decision being made.

“The professional guidance received throughout the process from KBS was very reassuring as we continued through the journey.”

“My thanks go to Charlie Neville and the team for all their help and dedication to reach a successful conclusion.”

Paul Dowdeswell on KBS Corporate service

Accelerated completion achieved, delivering full exit and retirement on target terms

We had a completion deadline that everyone worked extremely hard to meet and consequently all parties were delighted when this was achieved.

The client was aided in exiting as quickly as possible to expedite his desired retirement, he received the amount he was looking for and the buyer gained a strong, growing business, so everybody was happy.

Strategic platform acquisition supporting growth ambitions

The HVAC industry is strongly desired by interested parties looking to acquire. Empower Group had been newly set up by Denis Piffaretti, Florian Kronawitter and Nick Manning with the aim of becoming a UK market leader in technical services.

Empower unites complementary capabilities and outstanding entrepreneurs to deliver end-to-end solutions for commercial and industrial clients across the UK.

“We are delighted to welcome D-MEC to the Empower Group. Their reputation, technical capability and client-first approach are second to none in the UK HVAC market.”

“Paul and his team have built a highly respected business and we look forward to supporting them as they continue to grow in a market with a very positive long-term outlook.”

Nick Manning, CEO, Empower Group