Graphite Capital has sold its interest in LS Group, the bespoke door manufacturer, to SIG, the supplier of insulation, roofing and commercial interior products, for £47m. The exit represents a 6.1 times return on money for Graphite Capital, when it was part of F&C in 1999. The internal rate of return on the investment is 60%.
Graphite Capital bought LS Group in August 1999 for £13.5m when it was a newly merged business, having previously been the Leaderflush and Shapland businesses of Whitecroft plc.
Andy Gray, partner at Graphite Capital, said: “We refinanced the company in 2003 and realised substantial returns for our funds at that point whilst retaining a majority stake.” Graphite Capital originally acquired a 70% stake in the business.