ABOUT US
Sonmarg Capital is a permanent capital investor, established in 2019, that focuses on small to medium sized companies across a range of industries. It focuses on sales by owner-managers across the business services, software & IT services, healthcare and education sectors.
Unlike private equity firms or trade buyers, we work with owners to craft a custom deal that achieves their transition goals while growing the business and ensuring continuity to customers, employees and the community. We seek to build on the legacy of the founder, rather than remove it.
ACQUISITION CRITERIA
Our most important consideration is to identify quality businesses with growth potential. We are interested in a wide range of sectors, however we tend to focus on the following sectors:
- Business-to-business (B2B) services
- Healthcare services
- Education
- Software and IT services
We target businesses with the following criteria:
FINANCIAL CRITERIA
- £1m-£5m EBITDA
- Up to £20m revenue
- High recurring revenue / order book
- Track record of strong cash conversion
- >10% EBITDA margins
BUSINESS CRITERIA
- Strong middle management
- Sustainable competitive advantage
- Niche market leader (or 2nd in market)
- Identifiable moat
- Growth potential
INDUSTRY CRITERIA
- Growing market
- Fragmented market
- Simple business model
- High barriers to entry
- Low technological risk
OWNER DYNAMICS
- Motivated vendor e.g. looking to exit / retire
- Willing to consult for a period post completion
- Never been owned by private equity
- Conscious of maintaining legacy
PORTFOLIO
Market leading provider of security, fire and safety systems
BWS (established in 1988) is a market leading provider of security, fire and safety systems, headquartered in Bath. BWS supplies, installs, maintains and monitors fire alarms, intruder alarms, CCTV and access control systems for commercial and residential customers, principally across the South-West of the UK.
News
Sonmarg Capital acquires BWS Standfast, a leading UK provider of security, fire and safety systems
5 October 2021
Sonmarg Capital Limited, the permanent capital investor, today announced it has acquired BWS Security Systems Limited from its retiring owners, Mike Stone and Chris Jenkins.
BWS (established in 1988) is a market leading provider of security, fire and safety systems, headquartered in Bath. BWS supplies, installs, maintains and monitors fire alarms, intruder alarms, CCTV and access control systems for commercial and residential customers, principally across the South-West of the UK.
Mike Stone, Director of BWS, said: “I am delighted to have completed the transaction with Sonmarg Capital. We have developed the business over many years and finding a buyer that would invest in and continue its growth was important to us. We look forward to seeing the business continue to flourish over the coming years”. Chris Jenkins, Director of BWS, said: “Mike and I are looking forward to working with Sonmarg Capital over the next 18 months to help transition the business to new ownership and we look forward to its continued development for the benefit of customers, employees and all other stakeholders”. Haris Khan, Principal of Sonmarg Capital, said: “We are thrilled to announce the acquisition of BWS from Chris and Mike. They have built a fantastic business with excellent customer service, strong customer retention and robust financial performance. We plan to continue the business’ growth through further investment in the core business, as well as considering complementary acquisitions. Customers can rest assured that nothing changes and service levels will only improve over time as we continue to invest in the business”. To help steer the company’s next phase of growth, Sonmarg Capital has recruited Benedict O’Halloran and Alexander Schuil to join the board of BWS. Benedict O’Halloran was previously the Chief Legal Officer at Verisure/Securitas Direct, the second largest home alarm provider in the world, with 3.6m customers in 16 countries. Alexander Schuil is the current Chief Executive of Briscoe Protective, a top 35 fire and security protection business in North America. For more information please contact Haris Khan. www.bwssecurity.co.uk Notes to editors: Sonmarg Capital is a permanent capital investor, established in 2019, that focuses on small to medium sized companies across a range of industries. It focusses on sales by owner-managers across the business services, software & IT services, healthcare and education sectors. Further information on Sonmarg Capital can be found at:
www.standfast.co.uk
www.sonmargcapital.com
Team
Sonmarg Capital is backed by a highly accomplished group of successful entrepreneurs, family offices, business executives, and investors who bring decades of experience in successfully growing small to mid-sized businesses.
Haris Khan is the Principal of Sonmarg Capital. He was previously an Investment Manager at Alcuin Capital Partners, a UK focused lower-mid market Private Equity fund, where he was responsible for sourcing, executing and monitoring transactions. Prior to this, he worked at Risk Capital Partners, Luke Johnson’s (formerly Chairman of Channel4 and PizzaExpress) Private Equity fund. He holds a BA Business Economics from the University of Exeter and an MBA from INSEAD. Haris is supported by an international team of investors and advisors, including successful family business owners, operators and executives. haris@sonmargcapital.com.
Ralph Kugler Non-Executive Director
Ralph Kugler is currently Chairman of Williams Lea Tag (Advent International backed) and Headbox, and Independent Non-Executive Director at Keter (BC Partners backed). Ralph is the former Chairman of Cognita Schools (KKR and Bregal Capital backed) and Gorkana (Exponent backed). He was a Board Advisor at Mars, where he Chaired the Board Remuneration Committee and is a former Senior Advisor to 3i. Previously, Ralph was an Executive Director on the main boards of Unilever PLC and Unilever NV, and Non-Executive Director on the board of InterContinental Hotels Group PLC. At Unilever, he was Global President of the €19 billion home and personal care categories. In 1999, he was appointed Commander of the Royal Order of the Direkgunaborn, a Thai royal honour.
Tobias Raeber Non-Executive Director
Tobias Raeber is the former CEO of Herchenbach Industrial Warehouses. Tobias acquired Herchenbach through his search fund, Kronos Kapital & Management AG, together with his partner in 2015 before partially exiting the business in 2019. During his time as CEO, he doubled both revenue and EBITDA realising outstanding returns for investors. Prior to co-founding Kronos Kapital & Management AG, Tobias was a management consultant at Oliver Wyman and worked in real estate. Tobias is currently a Senior Advisor to Vonzeo Capital, a fund of Search Funds, and non-executive director of other search fund acquired businesses. He has been a guest speaker at INSEAD, LBS, IESE and Judge on Entrepreneurship Through Acquisition (ETA) and Search Funds. He holds a MSc in Economics from Bocconi University and a BSc from Ecole hôtelière de Lausanne (EHL).
Lord Milford Haven Non-Executive Director
George Milford Haven is currently a shareholder of Kelkoo.com, operating in 19 countries, and one of the founders and shareholders of Kelisto, a Spanish financial comparison website. In 1999, George founded uSwitch.com and was the director and major shareholder for this utility and financial comparison website. This was sold in 2006 to EW Scripps Corporation for £210m. Previously, George identified the opportunity for customer acquisition growth and subsequently established a sales agency, which won major contracts with London Electricity, British Gas and Powergen. Prior to this, George developed a number of businesses including oil exploration, aviation management, aircraft acquisition and property management.
Contact Us
For further information please contact our Principal directly. Sonmarg Capital also works closely with intermediaries and will offer a referral fee if we successfully complete a transaction.