03 Aug 2011
YFM Equity Partners backs Bagel Nash
YFM Equity Partners has backed the management buy-in of Bagel Nash, a specialist bagel bakery and retail business for an undisclosed sum.
YFM Equity Partners backed Bagel Nash through three of its funds; Chandos and its two British Smaller Companies Venture Capital Trusts.
The Bagel Nash Company was established 24 years ago and is a firm favourite with bagel lovers throughout the north and enjoys a growing reputation further afield. Bagel Nash’s own artisan bakery produces over 12 million bagels every year and exports gourmet bagels to over 20 countries. Employing 130 staff Bagel Nash currently operates 11 coffee and bagel bars in Leeds, York, Huddersfield and Manchester. The investment will support the acquisition of Bagel Nash and provide capital to finance its plans to open up new outlets in the North, North-West and the Midlands and will further aid the growth of wholesale and export trade.
YFM Equity Partners has backed Andy Micklethwaite as the new Chief Executive of the company and Sara Hildreth as Retail Operations Director. Andy has 30 years of retail and food manufacturing experience. In 2000 he led the MBI of food manufacturing business Symington’s, growing the business from £17m to a turnover of £55m.
Nigel Barraclough, Investment Director at YFM Equity Partners who led the deal said: “Bagel Nash has a fantastic reputation and is already well established in Yorkshire. This is a perfect example of our philosophy of investing in businesses that are undergoing transformational growth. We believe there is enormous potential for the business to expand into other regions and look forward to using both our experience and network to help Bagel Nash achieve this ambition.”
Andy Micklethwaite, CEO of Bagel Nash commented: “There is a huge appetite for a healthier alternative to the traditional sandwich and we believe that our bagel product can feed that demand. This investment from YFM Equity Partners will enable us to grow our products and open up more sites for our customers throughout the North and Midlands.”
Peter Wood and Amy Wright of Pinsent Mason provided legal advice to the MBI team. YFM Equity Partners were advised by Irwin Mitchell and financial due diligence was provided by BHP Corporate Finance.