Rutland to buy Pulse Home Products
Article Date: Aug 15 2007Private equity firm Rutland Partners is to buy Pulse Home Products, a domestic goods company, for £51.1 million. Pulse will use the additional funds to improve the performance of its brands, which include hair-care outfit Nicky Clarke and vacuum cleaner specialist Dirt Devil.
The company is being sold by consumer goods group Alba, which will use the proceeds of the disposal to reduce its debt. Completion is conditional upon the approval of Alba’s shareholders at an emergency general meeting on 22 August.
Rutland is investing some £25 million in the deal from its second fund, Rutland Fund II. The balance is to be financed through debt provided by CIT Capital Finance.
Pulse chief executive David Allen says: ‘We are looking forward to working with Rutland which we see as an ideal funder for this type of situation and, undoubtedly, a valuable contributor to the future plans for the business.’
Rutland’s investment was co-ordinated by Mike Harris, Ben Slatter, Nick Morrill and Dan Freed. Under the terms of the acquisition agreement, Harris and Slatter will join Pulse’s board.
Alba estimates that Pulse is on course to generate some £9.4 million from sales of £118 million
