Swindon expertise underpins acquisition of local defence specialist

Image courtesy Watersheds

Watersheds worked closely with PRP to build a succession plan for the business and its team, whilst also identifying a technically strong buyer that would match the business’ own skillset and entrepreneurial culture. Legal advice was provided by Old Town-based Gardner Leader, confirming the strength of commercial expertise for the defence and aerospace sector in the town.

PRP designs and produces custom optoelectronic components used in demanding applications across the aerospace, defence and industrial sectors. Its comprehensive in-house design, development and manufacturing capability matched SDI Group’s ambitions to develop its electronics and engineering offering and break into the avionics market.

Over the past year, the skills and expertise of businesses in the UK have proved to be in demand from national and international buyers. With this being the second defence sector deal Watersheds has led this financial year, the mergers and acquisitions market is buoyant, however one that requires specialist advice.  

Josh Jones (above), Partner at Watersheds, explained: “It’s a privilege to have worked closely with a fantastic local business and with local advisors to deliver an outstanding result for our clients.  

“Our significant track record in both the electronics and aerospace and defence sectors proved crucial to a smooth and successful process. We are delighted to have secured the right home for the business through our efforts, ultimately ensuring optimal value and obtaining the necessary Cabinet Office approval.”  

PRP’s shareholders Kevin Peart, Sam Cox, Andrew McKerrow and Richard Martin prioritised doing ‘the right thing’ in finding the right buyers to secure the long-term future of the business and its workforce, enabling PRP to remain operationally independent.  SDI Group plc presented an ideal opportunity to secure a British-based buyer with a complementary electronics background, able to maintain the established culture and company values.

PRP Managing Director Kevin Peart added: “We engaged Watersheds on the basis of the relationship built from the first meeting. We were impressed with the speed at which they found high-quality buyers. Their knowledge of the challenges of the sector and our business, and their dedication to guiding us every step of the way, was instrumental in the success of the process.”