NVM Private Equity invests £3.5 million in Haystack Dryers
5 June 2014
20 November 2012
NVM Private Equity (NVM) has invested £3.5 million in Haystack Dryers, a designer and manufacturer of purpose built people dryers for theme parks, water parks, swimming pools and spas worldwide. Part of the funding has been invested as development capital to take advantage of the rapid growth of theme parks in the Far East and also to support expansion into new sectors.
Dorset based Haystack Dryers was founded in 2000, selling innovative people dryers to swimming pools and leisure centres within the UK. Paul Thomas became Managing Director of the business in 2006 and used his 15 years’ of experience to transform the business into the world’s leading provider of award winning people dryer products into the theme park sector.
Haystack Dryers generates the majority of its income through a ‘revenue share scheme’ whereby Haystack retains ownership of the dryer and receives a proportion of the income generated once it is installed at a customer venue. This business model has achieved significant growth in recent years, with a significant proportion of the revenue therefore being long-term in nature and very predictable.
Haystacks Dryers’ core product is the Cyclone Dryer, designed to dry up to five people at one time. This is currently supplied to high profile customers worldwide such as Seaworld Group, Universal and Legoland. The company now operates dryers across 16 countries.
Paul Thomas, Managing Director of Haystack Dryers: “The theme park market continues to expand rapidly, especially in Asia where there is large investment in new theme parks. We are also seeing an increase in the numbers of theme park attendees globally, so there is growth across the sector in which we are a global leader. With the new funding and ongoing support from NVM we will be able to take advantage of the theme park boom and also expand this versatile product into new sectors.”
David Rolfe, Director of NVM Private Equity: “Paul Thomas is very entrepreneurial and ambitious and has shown his ability to transform a UK invention into a global success. Paul is hugely enthusiastic about the opportunities that lie ahead in a number of different sectors and we are delighted to be able to work alongside him to develop the business further.”
BDO LLP, Southampton – Paul Russell, Helen O’Kane, Michelle Trench (corporate finance advisers)
PwC LLP, Reading – Jason Wakelam, Alex Pascoe, Helen Adams (financial due diligence)
Moore Blatch, Southampton – Peter Jeffery, Anna West (management’s lawyers)
Wragge & Co., London – David Marshall, Sophie O’Connor (legal due diligence)
LDP, London – Yael Coifman (commercial due diligence)
Mercuri Urval, London – Richard Edmondson (management due diligence)
Inclusions: Image 1 – Paul Thomas; Image 2 – Cyclone Dryer at Theme Park; Image 3: Cyclone Dryer in Leisure centre
Haystack Dryers was founded in 2000 and has grown to become the worlds’ leading manufactures of body dryers to the theme park sector. Over 10 years the company has established itself as a major industry player, necessitating an advanced manufacturing plant and offices on both sides of the Atlantic. Haystack is, and has always been, at the forefront of body dryer innovation. The Company now works throughout the UK, Europe, North America, Asia and the Middle East. Haystack Dryers are sold around the world and in 2008 Haystack were awarded best new product of the year at the IAAPA exhibition in the USA. IAAPA is the worlds leading exhibition for the attraction and entertainment industry. www.haystack-dryers.com
NVM Private Equity Limited (NVM) is independently owned with over 28 years’ experience of investing in unquoted UK businesses. NVM is a generalist investor, managing over £200 million of funds, and is differentiated by having executives living and working in regional business communities throughout the UK. NVM seeks investment opportunities in UK businesses which have the right mix of growth potential and market vision. They may be looking to grow organically, acquire another business or secure a management buy-out. Typically, NVM looks to invest between £2 million and £10 million in each transaction. www.nvm.co.uk
For further information please contact:
Liberty Bollen (NVM: PR & Marketing) – 0118 951 7017 firstname.lastname@example.org
David Rolfe (NVM: Director) – 0118 951 7013 email@example.com