The MGroup Corporate Finance team advises Oxford-headquartered Integrity Group on its sale to ProductLife Group. With additional locations in the US and Ireland, Integrity Group is renowned for its expertise in life sciences, technology, and quality consulting that enables their customers to successfully and confidently plan, manage, deploy and adopt new technologies within a regulated environment.
Since 1998, Integrity has become a global supplier of business and IT solutions for the pharmaceutical industry, including quality and compliance, business transformation and IT delivery consulting.
Deal Challenges
The directors of Integrity first approached The MGroup in autumn 2022 after receiving an enquiry from a potential strategic buyer. After 25 years of successfully building the business, they decided to pursue the opportunity with a clear focus on achieving their objectives. It soon became apparent, however, that the acquirer was distracted by other business priorities and withdrew from the deal in early 2023. Despite the setback, the experience was helpful in assisting the directors to focus on areas of potential risk in the eyes of a buyer, enabling them to build in necessary business improvements and changes where required. In quick succession, another potential buyer made contact in summer 2023, and after a period of detailed discussions and negotiation, an acceptable deal was agreed.
The buyer was a global consulting group, private equity backed, and headquartered in France. The acquisition presented the opportunity for growth, expansion and future value creation based on the strategic fit and realisable synergies. The main challenges were to support the directors and prepare the business for the complex due diligence process, working to clear deadlines set by the buyer, and the inclusion of the US and Ireland based entities in the deal.
Solution
We worked closely with the directors Chris and Paul, supporting them through the various stages of the deal journey. From initial valuation guidance to agree price expectations, coordinating the information flow and responding efficiently to questions from the buyer, the team was able to address any issues as they arose, and maintain momentum in the deal.
With changing priorities and unexpected developments, the due diligence process proved to be intensive, and required focus, commitment, and patience from the whole team.
Communication is key during a business sale, and this can become difficult when some parties are based overseas. However, our ethos of open and transparent communication, and meticulous attention to detail throughout the process ensured steady progress.
Results
Following a rigorous process, we successfully orchestrated a sale agreement for Integrity to ProductLife Group that offered a premium valuation and demonstrated a strong commitment to preserving the company’s legacy and fostering future growth. The transaction not only generated substantial value for the client but also ensured continuity for employees and key stakeholders. Read the full press release.
Client testimonial
“It’s hard to put into words the depth of gratitude we have for The MGroup Corporate Finance team. Throughout the entire process of selling our business, they were not just consultants; they were partners, guides, and pillars of support.
From the very beginning, they brought a level of technical expertise that was unparalleled and took the time to really understand the business and our personal motivations for seeking an exit. The detailed valuation analysis and strategic insights gave us confidence in the decisions we were making. They navigated the complexities of the deal, ensuring that every aspect was thoroughly examined, explained and then negotiated to deliver the best outcome for us. The senior partner of our buyer’s lawyer commented that MGroup’s set up of the data-room was the best they’d ever seen.
But perhaps what truly sets them apart is their unwavering emotional support. Selling a business isn’t just a financial transaction; it’s an emotional journey filled with uncertainty and anxiety. The team understood this implicitly. They were there for us every step of the way, offering reassurance, empathy, and a listening ear when we needed it most.
Thanks to their expertise and support, we were not just successful in selling our business; we were able to do so with confidence and peace of mind. We couldn’t have asked for better partners in this journey.”
Chris & Paul, Integrity
MGCF team comment
“As clients of The MGroup Accountancy Practice, we were delighted to step in and support Integrity’s exit journey. From the initial review phase to the final deal, we offered advice, guidance and reassurance to Chris and Paul, in conjunction with our accountancy colleagues, and the Legal team appointed by the directors. In the end, the deal had just about every possible component, but teamwork and tenacity throughout, meant we could respond positively to any challenge or complexity. It was a pleasure and privilege to support Chris and Paul, and I’m confident the acquisition will prove to be an enormous success for all parties”
Geoff Pinder, Partner, The MGroup Corporate Finance