Franchising is a lucrative business, and even more so when companies merge together to combine resources and expand their existing network. What better way to grow your franchise business than merge with a company in the same market? Leading cleaning franchise, Ecocleen Services Ltd, have secured a £2.5 million deal after purchasing family-owned Regency Cleaning Services, under the watchful eye of solicitors Owen White.
The new acquisition will allow Ecocleen to expand its existing franchise network, growing its 600-customer base across its regional sites in the UK while learning new expertise in a dynamic sector.
Regency Cleaning Services holds multi-operational sites throughout Berkshire, Buckinghamshire and Oxfordshire, delivering cleaning, waste management, porterage and maintenance services to a variety of private and public sector sites such as schools, nurseries, offices and car showrooms.
Now, Ecocleen will take onboard Regency’s 100 clientele base along with its 500 members of staff, with plans to create new franchises across Britain with more than 25 years of experience in the industry.
Owen White, UK’s leading franchise specialist solicitors, were legal advisors behind the £2.5 million acquisition deal, ensuring Ecocleen had a smooth takeover. They helped in the negotiating and documenting process alongside accountants James Cowper Kreston’s corporate finance team, who provided transaction support to Ecocleen and their financier HSBC.
“This was a particularly rewarding transaction to work on with our longstanding franchise client Ecocleen Services Ltd,” Andrew Hayward, head of Owen White’s Corporate and Commercial team said. “As is often the case, there were one or two wrinkles that needed ironing out along the way. The pragmatism and commerciality of our client and their financial advisors was enormously helpful, enabling us to achieve a very satisfactory result all round.”
Ecocleen expressed their satisfaction with the takeover, explaining how the acquisition will enable them accelerate growth within the UK with new franchise areas.
“Regency Cleaning Services is a likeminded and profitable business that will immediately strengthen a number of existing franchisees while helping us create new franchise areas,” Jean-Henri Beukes, Managing Director of Ecocleen said. “This is the first of a number of strategic acquisitions we are planning as we look to accelerate our growth within the UK. We are seeking further opportunities in London, the South-East, South-West and North-West, which will add value and expertise to our business and existing infrastructure.”
