£55 Million Cross-Border Sale Of LG Harris

BUSINESS OVERVIEW

LG Harris & Co Ltd (Harris) is a leading manufacturer of decorating sundries with a brand that is recognised around the globe. Since the 1950’s Harris has been the No.1 preferred paint brush and roller brand within the UK DIY market. Harris manages a leading portfolio of brands across both retail and trade markets, with a strong heritage developed over eighty years of manufacturing.

The business was privately owned by the Harris family and based in the UK with world-class manufacturing facilities in China. The majority of the company’s sales are made in the UK market, and there is also significant export business supplying to 70 countries.

BUSINESS IMPROVEMENT

Orbis was engaged in 2013 to deliver a profit improvement plan with the aim of ultimately selling the business.

Orbis undertook an assessment of the business and worked with the management team to develop a strategic three-year plan.

Took time to understand the business operations, key commercial, strategic and financial strengths and weaknesses.
Took a hands-on role attending regular executive meetings to help develop the business and strategic vision.
Improved the data and information reporting function in the business.
Strengthened the financial reporting and general housekeeping to meet expectations of a £60m turnover business.

The team at Orbis took time to gain a genuine understanding of our business and its value. They were then in a position to provide a valuable external perspective and professional guidance as we prepared the business for sale. This incisive and patient approach led to a successful sale which exceeded shareholder expectations.

Stuart Hobbs, Sales & Marketing Director

THE SALE

Orbis worked closely with the senior management team to create shareholder wealth and achieved a deal value that exceeded expectations

In 2013 the business had revenues of £49m and EBITDA of £1.4m. For the 12 months to March 2016, Harris achieved revenues of £61m and EBITDA of £5.7m.

In 2016 Orbis orchestrated the sale of the business to Orkla House Care (Orkla) for £55 million.

Orkla House Care owns the Jordan, Anza, Spekter and Hamilton brands and is a leading supplier of painting tools in the Nordic region and Europe. Orkla’s UK operation, Hamilton operates in decorating tools to the trade market and complements Harris’ retail offering.