Under the terms of Charterhouse’s recent deal with Bank of Scotland, management still owns 80 per cent of the company. “We went with Bank of Scotland because they offered a sensible price for the business – although not the best price – and they wanted to leave a bigger stake for management going forward," Mahoney says.
“We weren’t tempted to go after a bigger price because whatever price you go for still leaves you with a debt. The best thing was Bank of Scotland allowed us to maintain the major shareholding.”
Mahoney’s entrepreneurial father started Charterhouse in 1969. The money from the Bank of Scotland transaction goes towards buying out Mahoney Senior and another director, Andrew Balcombe; securing the company’s future; and creating a financial basis to make acquisitions.
Mahoney says there are many opportunities for Charterhouse in the UK and Europe. “We’re looking to increase turnover by 20 per cent over the next 12 months to £85m.”