Sovereign builds platform for Renovo

Sovereign Capital, a UK private equity buy-and-build specialist, has invested £20m (US$38.5m) in a platform strategy for Renovo Services Group, established to consolidate providers of maintenance services to social housing landlords in the south of England and Wales.

Renovo’s first buy-and-build purchase was 1st Saxon-Clenmay, a Hampshire-based provider of gas and electrical reactive and planned maintenance to social housing landlords on the south coast, for a total consideration of £14m (US$m).

Yorkshire Bank provided debt for the 1st Saxon-Clenmay acquisition and will provide facilities for future acquisitions, talks for which are now under way.

Phillip Russell, former managing director of Morrison Facilities Services, has been recruited as chief executive, along with new chairman Stephen Hallett, previously main board director of Birse Group, divisional chairman of Tilbury Douglas and current chairman of Bedford Pilgrims Housing Association.