A new company has been launched by Avril Palmer-Baunack and investment management firm Marwyn that aims to acquire and develop large businesses in the automotive sector.
Haversham Holdings announced its intention to raise £30 million funds through a flotation on AIM which will be used for due diligence and operating capital prior to a subsequent acquisition.
Haversham said it has the support of leading institutional investors, including Invesco, Artemis, Aviva and Schroders.
With executive chairman Palmer-Baunack, a former chief executive of Universal Salvage and Autologic and briefly non-executive chairman of Stobart Group, and James Corsellis and Mark Brangstrup Watts of Marwyn on its board, it wants to take over businesses valued between £250m and £1bn in the UK and European automotive, support services, leasing, engineering or manufacturers.
Publicly listed and private companies are both potential targets, and Haversham believes that these sectors offer attractive opportunities for consolidation alongside the potential to create value from operational efficiencies across the supply chain.
Haversham's statement said Marwyn has a record of generating excellent returns for investors through its strategy of working alongside its portfolio companies and has made a substantial investment in Haversham. Prior Marwyn acquisition companies include Entertainment One Ltd, Breedon Aggregates Ltd and Advanced Computer Software Group plc.
Palmer-Baunack said: "With the partnership of Marwyn and the support of our leading institutional investors we intend to build a substantial business that generates value for our shareholders in sectors where Haversham can add value alongside excellent operational management teams."
James Corsellis, managing partner of Marwyn, said: "We are pleased to have developed this partnership with Avril and Haversham's core investor group. We look forward to working with Avril in situations where a combination of private equity skills and the public market environment can offer both target companies and our investors attractive opportunities to build businesses and generate strong returns".