Firms advise on LM Funerals sale
11th April 2012
LM Funerals, the third largest funeral company in the country, has been bought out for £37.5m by a private equity organisation.
Duke Street Capital, a group of investors who specialise in mature, pan-European businesses, acquired LM from the smaller firm Sovereign Capital, who focused on expanding the company’s 29 sites to 65 after purchasing it in 2003.
Four international law practices advised on the deal, with those in solicitor jobs also coordinating the co-investment of Babson Capital, Metric Capital Partners, and Alcentra, who will have a hand in the capital structure management, as well as payment-in-kind and mezzanine facilities.
A statement from Duke Street read that it was hopeful of further consolidating their position in what is a very fragmented industry – most of the £1.5bn sector is run by 2,500 independent outlets – and also that it is to retain the services of Deborah Kemp, who was made chief executive of the business following the last takeover.