Sovereign bolts on

Sovereign Capital, a UK buy-and-build private equity firm, has bought two new bolt-on businesses for its portfolio.

The first saw Sovereign-backed support services company Kinetics acquire Walmotts, a Midlands-based, gas, oil and electrical installation and maintenance services provider to the social housing sector, for an undisclosed sum.

The company has long-term contracts with several local authorities and housing associations. Kinetics now incorporates Seaflame, Camerons, TA Horn, Hudson and Walmotts and has annual sales of more than £80m.

The second acquisition saw Sovereign acquire Dependable Services, a Leeds-based supplier of contract cleaning and related ancillary soft support services, through portfolio company LPM for an undisclosed sum. Sovereign also carried out a buy-in/management buyout of contract cleaning, security and maintenance services business LPM last November.

Dependable Services has more than 245 clients across the daily office and light industrial sectors, with services including contract cleaning, window cleaning, washroom services and direct janitorial sales. The business was founded more than 50 years ago.

Sovereign Capital said that it was in negotiations with a number of further targets, which were expected to be completed shortly.

“[Dependable Services’] acquisition marks the seventh bolt-on acquisition that Sovereign has completed for our portfolio companies in the last six months,” said Ryan Robson, managing partner at Sovereign.

Last month, healthcare portfolio company Alkare bought Positive Lifestyles, a residential care provider, and STL, a national vocational training provider, bought Orient Gold, a provider of apprenticeship and adult learning.