Private equity fails to get hands on UK-based business as Harwood Capital walks away from £43m takeover of GYG
Private equity has for once failed to get its hands on a UK-based business.
Superyacht painting and repairs company GYG had been in discussion with Harwood Capital over a £43m takeover – but the London-based investor has decided to walk away.
Staying afloat: Superyacht painting and repairs company GYG had been in discussion with Harwood Capital over a £43m takeover
GYG said it agreed with Harwood’s decision that now was ‘not the appropriate time to progress a potential offer’. But sources close to both companies said Harwood could be back with a revised offer at a later date.
Harwood is GYG’s second-biggest shareholder with 20.5 per cent of shares. A spokesman for the private equity firm said: ‘Harwood is disappointed to announce that it is no longer considering making an offer for GYG and has ended talks with its board of directors.’
GYG’s revenues fell 12 per cent to £29m last year due to the pandemic, tipping the business from an £87,000 profit into a £430,000 loss.
But the superyacht industry has been picking up recently. With flights still disrupted, the superrich are taking holidays on their superyachts – and need them spruced up.