Dunedin Recapitalises CGI and appoints new chairman

Dunedin, the UK mid-market private equity house today announces that it has undertaken a second recapitalisation of CGI, the leading manufacturer and supplier of specialist fire resistant glasses.  Clydesdale Bank has supplied £15 million of new debt to structure the refinancing.

The business underwent a £25 million recapitalisation in 2004, having grown significantly ahead of expectations.   Dunedin led the original £10 million MBO of CGI from the Colebrand Group in December 1998.  Recent projects undertaken by the company include Hong Kong Airport, Houses of Parliament, Warwick Castle and most recently Heathrow Terminal 5.  

Dunedin has appointed a new Chairman, Christophe Guillot to lead the company’s European expansion. Christophe was CEO of Thermal Ceramics (Morgan Crucible Plc), a Global leader specialising in high temperature insulation.  Prior to that he spent eleven years at Pilkington, the leading glass manufacturer where he was the CEO of Pilkington France, then based in the UK, and finally as Managing Director of a network of 90 glass processing factories in Europe.  

Commenting on his appointment, Christophe Guillot said: “CGI is a highly regarded specialist glass business with a proven track record of profitability, innovation and cash generation.  My experience in the specialist materials sector combined with my knowledge of the building and construction industry will enable me to help the management team to drive the business forward into new markets.”

Dunedin Director, Nicol Fraser comments: “Since Dunedin invested in CGI ten years ago the business has shown significant growth and cash generation.  In the period the business has moved to a new purpose built facility in Haydock, increased employment and significantly increased export sales.  The second recapitalisation presents an opportunity for two of the original buy-out team members to retire from the business and the shareholders to realise value from their investment.  Strong additions to the management team will allow CGI to drive forward into the next stage of the company’s development.   This investment is an excellent example of private equity investing for the long term.

Alan Hamilton at Clydesdale Bank comments: "Clydesdale Bank is delighted to support the leading provider of fire resistant glasses in its next stage of development.  The strength of the management team and private equity sponsor ensures that the business is well placed to capitalise on the positive growth dynamics in its core markets"

Based in Merseyside, CGI’s products can be used in many demanding applications including fire rated partitions, fire rated screens, doors & floors, single, double and triple glazed units as required.  The range of fire glasses offered by CGI is the widest range from any single manufacturer in the world.

For further information please contact:
Equity Dynamics
Jane Kirby 07825 326 441
Corinna Vere Nicoll 07825 326 440