Baker Watkin chartered accountants and chartered tax adviser

Baker Watkin

Middlesex House

Rutherford Close

Stevenage SG1 2EF

t: 01438 750555

e: enquiries@bakerwatkin.co.uk

Management buy-out for Applied Scintillation Technologies

Testimonial from Stuart Quinn, Applied Scintillation Technologies

“We didn't know what to expect when we started the corporate acquisition of Levy Hill Group Ltd and having Andrew Watkin of Baker Watkin acting on our behalf was essential.
From the very start of setting up a company, TQ Scientific Ltd, the vehicle for acquisition, through all the meetings and finally to involved in the completion meeting, Andrew was a respected member of the team.

"He gave us good advice about the valuation and the deal, including working closely with the Bank when covenants were added to make sure our interests were covered. His good team skills meant that he successfully negotiated numerous points with HSBC Bank plc and Baker Tilley on our behalf and explained complex accounting matters and legal terms into easily understandable points, which was particularly helpful.

"Andrew remained on-call throughout the whole process, returning telephone calls late into the evening and giving us a good all-round service and this was particularly helpful to us as we still had our day jobs to do.

“Andrew’s sense of humour and resolute determination to succeed helped to draw the deal together and we will certainly continue to use Baker Watkin’s services for other accounting matters.”

About Applied Scintillation Technologies

Applied Scintillation Technologies (AST) supply innovative imaging and detection products using the latest phosphor and scintillation technologies to dental, security, medical and non-destructive testing markets globally. The enabling scintillation components and technologies offered by AST provide customers’ with product differentiators making it possible for them to meet the increasing demands from their customers in the imaging and detection
market place.

Baker Watkin and the team successfully completing the MBO

A new company called TQ Scientific Ltd, owned by Glenn Tyrrell and Stuart Quinn, was formed to purchase the entire share capital of the Levy Hill Group Ltd, which owned all the shares in AST. With a loan from HSBC Bank the company bought all the shares with the vendors remaining as preference shareholders.

Baker Watkin were referred by HSBC Bank Plc to act as financial advisers to the management team and the companies represented in the MBO included Hilliers HRW and Baker Tilley for financial due diligence. Andrew Watkin from Baker Watkin, Chartered Accountants and Business Advisers represented Glenn and Stuart, and he was involved in every aspect of the acquisition including creating the heads of agreement and attending many meetings, as well as the final meeting where the contracts were signed.

Throughout the whole deal Andrew gave advice to the management team and negotiated the covenants with the bank, he was a vital contributor in this management buy-out. Andrew believes that the success of an acquisition lies in the willingness of the team to work together, respecting and understanding each other’s involvement and adhering to the deadlines set.

This includes the client being confident in what they want to achieve and trusting the advisor to carry out the acquisition on their behalf. The future of the company now lies in the hands of Stuart and Glenn, who are committed and focused on developing their products and relationships with their customers, which will help to provide a more sustained growth and improved profitability.s

If you want to achieve your business objectives, via acquisition, sale or succession or would like further information on our services, please contact Andrew Watkin on 01438 750555 or by e-mail at enquiries@bakerwatkin.co.uk