Evans Cycles sells to private equity firm
Posted on in Cycles News
Evans Cycles is under new ownership after the family behind the roll-out of the business sold a majority stake to private equity firm Active.
The deal, for an undisclosed sum, will see members of the management team retain their roles and keep a minority holding in the retailer.
Active have acquired a majority stake in the business via a combination of acquisition and growth capital. The current executives - Mike Rice, Mark Smith and Andy Terrington - bring considerable management experience and will retain their management roles, as will non-executive director Gary Smith.
The retailer has grown significantly in the last 5 years, increasing it's network of stores from 11 to 31 and growing it's retail footprint nationwide from a traditionally London and South East Base.
The new capital into the business will allow Evans Cycles to continue their store expansion momentum and at the same time invest in the infrastructure to take the business to the next level.
"It's business as usual for us" says Managing Director Mike Rice, "Active are 100% behind the management team, our staff and the way we operate. For our suppliers and customers there will be very little change. We are all excited about the future opportunities for Evans Cycles.
Active was introduced to the transaction by Nick Evans, who will become the Executive Chairman of the business. An active cyclist himself, Nick has an impressive track record of performance improvement at store and multi channel retailers such as Shoe City, Cotswold Outdoor, Mappin & Webb and Watches of Switzerland and also has cycling / sports sector experience.
Nick Evans, who led the transaction on behalf of Active alongside Bryan Vaniman, said: "Evans Cycles has grown the top line impressively to become the UK's leading specialty retailer in the cycling sector - an exciting market with strong underlying growth. The multi channel brand is well established and the sales teams provide industry leading range, knowledge and service. We are looking forward to further developing the company with the current management and shareholders."
He is currently non-executive director, with his son Mark now part of the team running the Crawley-based firm.
The company, which has doubled turnover in the last three years to £45 million, has been looking for backers in order to support growth online and on the high street. It has been the subject of speculation about potential deals with Sports World owner Mike Ashley and Halfords, before the deal with private equity firm Active.
Evans Cycles is the largest seller of brands Specialized and Trek in the UK and has a 36,000-strong customer database. It has also introduced its own bike brand Pinnacle, designed for UK riding conditions.