European deal origination firm sees 12 deals in four months
Langcliffe International, the European specialist deal origination business, has announced further growth on the back of a significant increase in European activity with its introductions resulting in 12 completed transactions in the first four months of 2022, half of which were on behalf of overseas clients.
Over the last three years, the firm has focused on increasing its activity on cross border deals and has recruited a team on-the-ground based across Europe to liaise with advisers. It is continuing to grow its European desk in the 20-strong UK head office to support EU deals as its network across Europe continues to build.
Since January, the firm has been actively originating deals across a wide range of sectors and countries, with Langcliffe International proving able to secure relevant transactions. Its work this year has already led to a number of deals in the £10m to £20m value range including the acquisition of a Dutch visual communication equipment business by a Swedish investment firm; and the sale of a Belgian tubing applications medical business to a Netherlands-based European PE firm. The firm also introduced a Scandinavian-listed agnostic group to a UK distributor of premium cycle parts and accessories; and a Swedish-listed FMCG group acquired a UK provider of premium quality organic superfoods.
In addition, Langcliffe’s introduction of appropriate mandates led to a German PE-owned logistics group of companies acquiring a UK third-party logistics business for in excess of £5m; and a Netherlands-based PE owned group purchasing a UK street furniture manufacturer for an undisclosed multi-million pound sum.
Langcliffe sees 160 new deal opportunities each week from its network of 4,000 advisers across Europe. The business managed the delivery of 3,000 investment memorandums on behalf of clients in 2021, and it originates, on average, more than 30 deals each year.
The business was founded in 2012 by former RSM Tenon and Bentley Jennison head of corporate finance Mark Eardley and commercial director Helen Postlethwaite, also ex-RSM Tenon. It now has relationships with the majority of the UK and Europe’s mid-market private equity, corporate finance and dealmaking advisers and has become the EU’s leading mid-market deal origination service.
“Since 2018, we’ve been building our team covering Europe to enable us to grow our presence and continue to expand our network of EU dealmakers, investors and advisers,” said CEO Mark Eardley. “It’s great to see such a strong start to the year, buoyed by a raft of European deals despite a slower UK deals market, as evidenced by recent data. We are continuing to invest in staff to grow both our reach and our relationships in key markets such as Scandinavia, the Dach region and the Benelux countries, as well as expanding our network of engaged advisers in all the major European markets. In addition, we are also building our presence in the US where the level of engagement is already increasing with around 50 clients across the PE and corporate sectors.”
Commercial director Helen Postlethwaite explains: “Essentially, we work closely with advisers to match high quality mid-market businesses for sale in the sub £100m bracket with the most active buyers, on a contingency fee basis. Our constant liaison with these advisers gives us the most accurate real time database of investment opportunities in the market and our assistance in filtering and vetting enquiries also adds bandwidth to boutique dealmaking teams, helping them with the process of managing enquiries.”
The firm’s expansion is set to continue in 2022 with further consolidation of its position as the leading provider of live deal opportunities for private equity and corporate buyers, with additional investment in expanding its European team as the business increases its market share in mainland Europe.