Fromstock forges ahead after MBO
A south Wales metal supplier will continue to grow
after its managing director retires.
Jan Frayne bought out the CG Group of companies from founder Colin
Rees. The deal will see Mr Frayne become owner and managing
director of the company, which has been renamed Fromstock.
We invested £650,000 in the succession deal after Mr Frayne was
referred to us by CODA Business Management.
Planning ahead for succession
Mr Rees announced his decision to retire in 2006 but did not
wish to see the company close. He drew up a succession plan with Mr
Frayne who had been with the company for 17 years.
The company has traded since 1974 and counts a number of blue
chip companies among its customers. Mr Frayne plans to expand the
business and create new jobs.
Securing investment through an intermediary
Mr Frayne sought professional advice in raising £1.3m needed for
the succession deal. CODA Business Management referred him to
Finance Wales and other private and public partners, including the
Welsh Assembly Government.
Other advisers included New Law, BPU Accountants and Tony Price
Associates. Finance Wales was advised by Broomfield and Alexander
and Go Industry.