Sheffield tech company acquired in PE-backed MBO

A division of a technology and software business which was taken private last year has been acquired in a private equity-backed management buyout (MBO).

Sheffield-headquartered Servelec has sold its systems integration business, Servelec Controls, to managing director Andrew Mills, who led the buyout with backing from Alcuin Capital Partners.

The deal means Servelec Controls will no longer be part of the Servelec group, which de-listed from the London Stock Exchange following its acquisition by Montagu Funds.

Servelec Controls, which has has operations in Sheffield, Warrington, Aberdeen and Glasgow, said operating as a standalone entity will enable it to be more agile in its approach to both its staff and its customers in critical industries, which include oil and gas, nuclear power and defence.

Alan Stubbs, chief executive of Servelec, said: “We are pleased to confirm the sale of Servelec Controls and wish Andrew and the team every success for the future. Under Andrew’s leadership during the past 18 months and the focus he has provided to the business, Servelec Controls has delivered a strong performance and has transformed into a strong business with a great team across four strategically located office locations. Servelec now moves forward as a blended business focused on the healthcare, social care, and education business and Servelec Technologies which delivers optimised automation across asset management for utility industries.”

The group recently made a series of appointments to its leadership team, with Neil Laycock and Richard Betts joining Servelec as managing directors of healthcare and social care and education respectively. David Frost recently joined as managing director of Servelec Technologies.

Servelec will continue to trade under its current Servelec (healthcare, social care, and education) and Servelec Technologies businesses.