Mishcon de Reya advised HCM (Host Catermasters) Group Ltd, backed by MML Capital Partners, on its merger with CH&Co Ltd to create a new company, CH&Co Group in a deal worth £75m. The acquisition of HCM occurred simultaneously with the acquisition of CH&Co.
HCM Group Ltd are a contract catering specialist that provides restaurants, delis and coffee bars to 120 clients across the UK. The new company CH&Co Group will have a combined turnover approaching £200m, and a team of 4,500 providing services to over 400 outlets across the UK and Ireland.
MML identified there was a shared growth ambition and similar corporate cultures in both organisations, but in order to compete more effectively with the largest players in the £4.25bn contract catering sector, they needed greater scale and investment capacity.
The Mishcon de Reya team was led by Private Equity Partner Simon Sale and Legal Director Allison Keyse. The Corporate tax team advised on the management tax piece, with specialist advice provided by John Skoulding.
Simon Sale commented "The clients were focused on the key issues and had an excellent understanding of the transactional process and what was needed to deliver the transaction. We wish them well working alongside MML in the CH&Co Group."
Madeleine Musselwhite, Group Finance Director at HCM Group Ltd, added "The Mishcon team provided sound guidance and balanced counsel throughout the process. Their experience working in deals with private equity funding in particular was invaluable – avoiding unnecessary costs and ensuring the completion process was as smooth as possible for the management of both HCM and CH&Co."