MultiThread Consultants completes MBO

Wireless networking distributor MultiThread Consultants has undergone an management buyout (MBO) after being acquired by Merino Private Equity.

The Ipswich-based consultant and distribution player has seen its revenues improve by 30% over the course of the pandemic, and looked to use an MBO as a means of supporting future growth ambitions.

The plans for the new leadership include expanding the product range and training programmes to tap into the growing opportunity around hybrid working.

Research earlier this summer from TalkTalk found that working from home (WFH) had become established over the course of the pandemic, with three-quarters (74%) of employers said that with formalised WFH arrangements, they now view an employee’s at-home workspace as an extension of their office. Nearly nine in 10 firms (86%) said their employees were in favour of flexible working policies, and 80% agreed it is a good idea for the business and employees.

Nick Shore, who has more than two decades with the firm, most recently as CTO, will become managing director and take the helm at the distributor.

“New standards of connectivity mean businesses can enhance their IT network infrastructure with wireless solutions,” he added.

“This creates an opportunity for us and our installer partners to work with organisations and help them to facilitate the new hybrid ways of working that have emerged in the past two years, and to build on the success we’ve already had helping organisations to adapt their infrastructure to meet new requirements.”

“The addition of Merino will help us as we target growth from these opportunities. And the quick decision-making of Shawbrook Bank ensured a swift completion of this deal, helping us to focus on growing the business with the support of our new owners.”

Jack Kinnersley, investment director at Merino Private Equity, said that it recognised the opportunity for MultiThread Consultants and backed the management team to deliver: “The business has built a great reputation off the back of high service levels and a compelling product range.”

MultiThread’s change in direction has also involved the support of Shawbrook Bank. Oliver Sutton, relationship director at the financial specialist, said that the MBO made sense and that Shore and his team were the right management to keep the growth going.

“The case to back this change of ownership was exceptionally strong. The long-standing expertise of Nick and his team positions the business well for tapping into a booming market buoyed by changing working patterns and new technologies,” he said.

“We worked closely with the MultiThread Consultants team to understand its business model and working capital cycle, ensuring that we provided the new owners with a finance package with terms that will help to enable its growth,” he added.