The MBO has been backed by the Bank of Scotland and Opus Ventures LLP, whose co-founder Laurence Vaughan, also the chairman of AM100-listed Sytner Group, joins the Demon Tweeks board as non-executive chairman. The development is not connected with Sytner, however.
The company, which has an annual turnover of £25m with profits exceeding £3m, is planning to recruit a retail sales director who will lead a strategic roll-out of the retail and fitting business into a chain of Demon Tweeks stores across the UK.
Minshaw is reluctant to reveal his full proposal, but admits that he has looked at the UK’s network of 35 Hein Gericke motorcycle accessories outlets as a model for his company’s expansion.
Demon Tweeks’ stores will be in “a number of major conurbations”, he says, with the first location earmarked for the end of this year. Most will supply motorcycle and car performance tuning parts, however in some regions where market demand is particularly strong outlets may be dedicated to motorcycles only.
The addition of Vaughan to Demon Tweeks’ board is a particular coup. He has overseen the expansion of Sytner Group into a business with a turnover of more than £1bn, ranking it 6th in the AM100, and he brings a wealth of experience needed to drive Demon Tweeks’ growth. Opus has poured £5.5m equity into the business.
“It’s a very strong business but we have ambitious plans to grow turnover and profit quickly,” says Vaughan. “It’s in a great position to do that, and is a strong brand in the motorcycle and tuning sectors.”