WESTBRIDGE CAPITAL takes majority stake in APEM GROUP

WestBridge Capital backed the management buyout of APEM, the Stockport-based environmental consultancy, in a transaction announced on 11 March 2019. The firm invested £9.8 million in a combination of equity and loan notes, funding the purchase and the company’s growth plans, and Yorkshire Bank provided senior lending and working capital facilities. Founder Dr Keith Hendry retired on completion to pursue his non-commercial interests, while executive directors Dr Adrian Williams and Dr Stuart Clough stayed to lead the business. At the time of the deal, APEM generated revenue of £10m and employed more than 100 people across eight UK offices, one in Germany and another about to open in the United States. The company specialised in the aquatic environment and remote sensing, providing environmental consultancy, laboratory services, field surveys and digital aerial wildlife surveys to the water, power, engineering, construction and transport sectors, for clients including government bodies such as Defra and the Environment Agency. WestBridge pointed to expected growth in demand for environmental consultancy, driven by the UK government’s 25-year environment plan and by the need to comply with European environmental rules after Brexit. Managing director Adrian Williams said the investment would let APEM develop a wider range of specialist services in the United Kingdom and pursue the opportunity presented by the US offshore wind market. The company went on to make its first acquisitions within two years, buying Woodrow in July 2021 and AQUAFACT in early 2022. DWF advised APEM and its management on the buyout, while Capital Law acted for WestBridge.