Endless sells on Crown Paints following turnaround

UK private equity turnaround specialist Endless has sold Crown Paints to Danish coatings supplier Hempel in a deal that has been pegged at around £140m (€158.8m).

UK private equity turnaround specialist Endless has sold Crown Paints to Danish coatings supplier Hempel in a deal that has been pegged at around £140m (€158.8m).

After coming into the loss-making UK paint company in September 2008, Endless and management managed to claw back the business, bringing in £20m profit on £180m turnover last year. Profits were nearly doubled from £10.5m in 2009. 

Endless paid Dutch chemicals group Akzo Nobel £70m for the foundering business and is thought to have doubled that enterprise value through the sale to Hempel. 

Crown Paints chief executive Brian Davidson said: “Endless invested into Crown Paints at a time of great uncertainty for the business, in the heart of the global financial crisis of late 2008. This helped to secure over 1,500 jobs when the business was loss-making and considered non-core by its previous owner.”

Buyer Hempel, which was established in Denmark nearly a century ago, supplies products to the decorative, protective, marine, container and yacht markets in more than 80 countries. The company recorded profits of €92m on revenues of €889m last year. 

Endless and management were advised by Deloitte Corporate Finance, Eversheds, KPMG, Walker Morris and Rollitts.